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National bank uses echo bay gold advising Original Source Link: (May no longer be active)
http://quote.bloomberg.com/apps/news?pid=10000082&sid=aX4bPAMCGZOc&refer=canadahttp://quote.bloomberg.com/apps/news?pid=10000082&sid=aX4bPAMCGZOc&refer=canada
National Bank Tops Canadian Mergers on Iamgold Takeover
March 31 (Bloomberg) -- National Bank Financial led all banks in Canada for mergers and acquisitions in the first quarter after advising Iamgold Corp. on its C$2.9 billion ($2.2 billion) merger with rival Wheaton River Minerals Ltd.
The investment bank unit of Canada's sixth-biggest lender advised on three deals worth $3.3 billion in the period, helping it top the quarterly rankings for the first time. RBC Capital Markets was second, advising on nine transactions worth $2.7 billion, according to Bloomberg data.
National Bank is benefiting from a rebound in mergers among gold and other mining companies, sparked by higher commodity prices. The bank expects more takeovers in the industry this year, after gold prices hit a 15-year high in January.
``There tends to be more activity when both stock prices and commodity prices are positive,'' said Brian Imrie, 42, co-head of mergers for the Montreal-based bank. ``It's a bullish environment. We would expect to see more consolidation in the gold sector and in other metals as well.''
Overall, mergers rose 14 percent from the fourth quarter of 2003, with 510 deals worth $16.4 billion. There were 487 transactions worth $14.4 billion in the fourth quarter, according to Bloomberg data.
``The calendar looks robust. There are a number of things in the pipeline,'' said Kevin Sullivan, chief executive of GMP Capital Corp., which ranked fourth, advising on four deals worth $2.3 billion. ``Certainly for this quarter, it looks reasonably solid from an investment banking point of view.''
First Marathon
National Bank expanded its mining advisory business with the 1999 purchase of independent brokerage First Marathon Inc. for C$712 million, merging it with its Levesque Beaubien Geoffrion Inc. unit in Quebec.
``First Marathon had quite a good gold practice back then as well,'' said Craig McDougall, the other co-head of mergers at National Bank, leading a team of 10 investment bankers. ``There is likely to be more gold activity at this point in this cycle.''
Barrick Gold Corp., the world's third-biggest gold producer, may receive a takeover offer from larger rival Newmont Mining Corp., the Sunday Telegraph reported this week, without saying where it got the information.
Previous gold transactions for National Bank included advising Echo Bay Mines Ltd. on its sale to Kinross Gold Corp. in 2002. It also advised Franco-Nevada Mining Corp. on its sale to Newmont Mining Corp. the same year.
Maax, CGI
Other deals for National Bank on the quarter included two transactions for Montreal-based companies. The bank advised Maax Inc., North America's third-biggest maker of bathroom fixtures, on its C$640 million sale to a group of investors. The bank also worked with CGI Group Inc., Canada's biggest computer-services company, on its C$1.1 billion purchase of American Management Systems Inc.
Scotia Capital ranked third in the quarter, followed by GMP Capital and CIBC World Markets. Goldman Sachs, the No. 2 mergers adviser in Canada last year, ranked 10th. Morgan Stanley, tops last year, was 13th.
Adviser Share Volume ($US) Deals
National Bank Financial 20.3% 3.33 Bln 3
RBC Capital 16.3 2.68 9
Scotia Capital 14.6 2.39 8
GMP Securities 13.8 2.27 4
CIBC 13.6 2.23 6
Endeavor 12.8 2.10 1
Lazard 11.2 1.84 3
Societe Generale 10.4 1.70 2
JP Morgan 10.4 1.70 1
Goldman Sachs 9.9 1.63 4
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