Global Winners for the Best Investment Banks by Sector for the Year 2024

The computer and electronics industry continued to generate the most IPO proceeds for the entire year 2023. Based on Dealogic data, the industry remained at the top from 2022 and 2021.

It raised $34.4 billion in total, which is $5.6 billion less than in 2022 and a staggering $57.6 billion less than in 2021.

Arm’s $5.2 billion public debut in September was the largest IPO of the year, which was also produced by this sector.

The industries with the highest IPO proceeds were technology ($10.7 billion), followed by healthcare ($9.6 billion) and finance ($10.7 billion). As a result, the market maintained some resilience.

This is the situation with exchange rate changes. When compared to the declining euro and pound, the dollar strengthened due to the US economy exceeding expectations. The cost of imported energy into Europe was negatively impacted by the Middle East conflict. Additionally, companies and governments kept looking for substitutes for the declining commodity exports from Russia and Ukraine.

Compared to 2022, M&A deal volumes increased in 2023 in the following industries: aerospace and defense; mining and metals; power and utilities; pharmaceuticals; industrial manufacturing; automotive; and technology.

As the macro environment stabilizes, dealmakers are cautiously optimistic about an IPO recovery in 2024, according to Pricewaterhouse Coopers.

As per the firm’s year-end analysis, although IPO windows are “tight,” the prepared ones tend to benefit more.

“As always, being prepared to take advantage of these tight windows will be key for prospective issuers,” the report stated.

Planning for optionality (i.e., dual-track processes that include M&A) would be prudent for investment bankers. It is anticipated that hybrid and convertible instruments, which are alternative funding mechanisms, will continue to gain popularity in 2024.

Best for Financial Institutions | UBS

Silicon Valley Bank and Credit Suisse were among the crucial institutions that failed in 2023, making it a turbulent year for the banking industry. UBS was crucial in stabilizing global investments and assisting them through the intricate transactions and strategies that helped to contain the crisis in the face of that difficult environment.

The massive Swiss company closed multiple deals in various financial sectors and across multiple regions. One of the largest was when it arranged and managed the financing package to support ASR Nederland N.V.’s business combination with Aegon Nederland in October, serving as the company’s only financial advisor. The lead joint arranger and financial advisor for GTCR’s $9.4 billion majority-stake acquisition of Worldpay in July was UBS. Additionally, it served as its own advisor when it acquired Credit Suisse for a record $3.2 billion in October.

Industrial Chemicals | Bradesco BBI

Due to poor Chinese growth and fewer deal volumes in the US, the global industrials and chemicals sector had a difficult year. However, Bradesco BBI was able to keep the industry moving forward by leveraging its best-in-class market positioning. The Brazilian behemoth participated in multiple cornerstone offerings and acquisitions by taking advantage of rising commodity prices and a plethora of fixed-income offerings in its native nation. Regarding the industrial sector, it carried out several significant private debt offerings, including the issuance of financial notes worth $140 million by Mercedes Benz and a similar $150 million offering by John Deere. Additionally, Bradesco coordinated CBA, a Brazilian aluminum company, throughout the world for its $200 million follow-on offering.

The bank had served as the global coordinator for CBA’s $400 million IPO on the Bolsa do Brasil two years prior.

Infrastructure & Project Finance | Standard Chartered

In 2023, Standard Chartered’s broad geographic reach and diversified approach to investment banking paid off handsomely. Amid a landmark year for infrastructure finance, the UK-based powerhouse was able to play a dual role in developing infrastructure for low-income countries and in high-end new technology deals.

One of its most notable transactions was a $1.3 billion debt offering for the construction of the largest wind farm in Central Asia, to be built in Uzbekistan, with the European Bank for Reconstruction and Development (EBRD) and ACWA Power. Standard Chartered provided advice to Saudi Aramco in December regarding its previously announced acquisition of a 40% share in Gas and Oil Pakistan. Previously, it arranged a $1.46 billion financing for Tanzania’s Standard Gauge Railway, supported by the Export Credit Agency, and obtained a $313 million social loan for Ghana’s Eastern Corridor development, which connects southern seaports to northern landlocked neighbors.

Metals & Mining | BMO Capital Group

BMO Capital Group maintained its position as the leading worldwide advisor on metals and mining transactions by leveraging its best-in-class knowledge and distinctive industry positioning in the face of challenging conditions for international mergers and acquisitions. With 14 transactions totaling $28 billion, the Montreal-based bank defeated Goldman Sachs, the runner-up, for the tenth consecutive year.

The $19.2 billion purchase of Newcrest Mining by Newmont, the biggest merger and acquisition in the history of the precious metals industry, was one of BMO’s most significant deals of the year. Additionally, it guided Teck Resources’ independent Special Committee during the $8.9 billion sale of its steelmaking coal business to a group of buyers, with a minority stake going to Glencore and a majority stake going to the company’s current offtake partner, Nippon Steel Corporation.

Power & Energy | Bradesco BBI

Brazil’s thriving renewable energy matrix helped the region’s activity remain more resilient than average last year, despite the global energy supply chain disruptions caused by climate challenges brought on by the war in Ukraine and global warming. This helped Latin America’s energy sector have a very successful year by pushing dealmaking in the field of renewable energy to a healthy $1.9 billion. In light of this, Bradesco BBI, the top bank in the power and energy sector, assisted its customers in positioning themselves to benefit from the shifting trends in the sector.

One of Bradesco’s most notable transactions was the $800 million preferred note issuance for the massive natural gas, fuel, and agriculture company Cosan. In June, Cosan released another $110 fixed-income issue after this one. Bradesco’s $250 million acquisition finance funding for oil distributor Atem was another well-known deal.

Sports Finance | Goldman Sachs

Throughout the year, team acquisitions and mergers and acquisitions (M&A) changed the face of international sports, particularly in the US. Goldman Sachs took advantage of this and managed several high-profile sports finance deals. Along the way, the company merged its sports finance and M&A operations into a dedicated sports franchise unit.

According to Bloomberg, Goldman completed more than $25 billion in sports-related transactions by year’s end, accounting for 44% of the market by deal value. One of its most notable transactions was the $4 billion sale of the Phoenix Suns to Mat Ishbia, a billionaire, for which it served as a major advisor. Additionally, Goldman played a key role in the much-awaited $21.4 billion merger of World Wrestling Entertainment and Ultimate Fighting Championship, which created TKO Group in September.

Technology, Media, Telecom; Healthcare | Morgan Stanley

These two industries are changing quickly, and M&A activity is what propels organizational expansion. Although there was not much dealmaking in general last year, Morgan Stanley was involved in a number of the largest deals. Regarding technology, it provided advice to software developer Qualtrics on its $12.5 billion sale to Silver Lake Partners and the Canada Pension Plan Investment Board, and cybersecurity company Splunk on its $28 billion sale to Cisco. NBC/Comcast sold its one-third stake in Hulu to Disney for $8.6 billion, while Lionsgate sold its stake to Screaming Eagle Acquisition Corporation for $2.6 billion. These deals involved media advisory services.

In the telecom space, Morgan provided advisory services to KKR regarding its $20 billion acquisition of Telecom Italia’s landline division and to Searchlight Capital Partners regarding its $3 billion acquisition of fiber provider Consolidated Communications with British Colombia Investment Management Corporation. The company also provided advice to Bain Capital regarding its $3 billion acquisition of Chindata, an Asia Pacific data center provider.

Morgan Stanley reported strong healthcare M&A activity in 2023, and the company anticipates that this trend will continue as businesses seek to enter new markets and quickly implement cutting-edge medical procedures. NextGen Healthcare, a top supplier of cloud-based healthcare technology solutions, serves as an example of this dynamic. Morgan provided advice on the company’s $1.8 billion sale to Thoma Bravo. Morgan provided biopharma advice to Abbvie regarding the $10 billion purchase of ImmunoGen.