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The biggest tech deal of the year is great news for boutique banks

Portia Crowe   

The biggest tech deal of the year is great news for boutique banks
Finance2 min read

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Reuters

Softbank is buying the British chip maker ARM Holdings for about $32 billion - and it's big news for two boutique banks.

The boutiques The Raine Group and Robey Warshaw landed roles as financial advisers to Softbank along with the Tokyo-based Mizuho Bank.

Goldman Sachs and Lazard are the lead financial advisers to ARM, while UBS is a financial advisor and joint corporate broker to ARM along with Barclays.

Those firms are expected to split between $50 million and $60 million in fees on each side of the deal, according to the consultant Freeman & Co.

For the bridge loan of up to $9.5 billion, Mizuho coul dearn 0.5% fee, or about $47.5 million.

The Raine Group was founded by Joseph Ravitch and Jeffrey Sine and has worked on deals including Steve Ballmer's acquisition of the Los Angeles Clippers and Softbank's deal for Sprint, according to The New York Times.

Ravitch was previously a senior partner at Goldman Sachs and worked on the firm's investments in YES Network, Demand Media, China Netcom and Focus Media, according to Raine's website.

Sine was vice chairman and global head of tech, media, and telecom banking at UBS. Before that he worked in media banking at Morgan Stanley. His clients have included Viacom, Google, Time Warner, News Corp, and Sony, according to Raine's website.

Robey Warshaw is a tiny advisory boutique cofounded in 2013 by Simon Robey and Simon Warshaw. The firm last year landed a prime role on the $275 billion Anheuser-Busch InBev merger with SABMiller.

Robey was previously head of UK investment banking and cohead of global mergers and acquisitions at Morgan Stanley. Warshaw was the head of investment banking at UBS before joining Robey to form their boutique advisory firm. He worked with Vodafone on the $130 billion sale of its stake in Verizon Wireless to Verizon.

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