It’s been described elsewhere as a friendly bit of poaching, but officially it’s a strategic partnership between UniCredit and NewSmith Capital Partners. Once it’s all approved, UniCredit will acquire NewSmith Financial Products (NSFP) and become an investor in NewSmith funds, as well as taking a 5% stake in NewSmith Capital Partners. As part of the deal, T J Lim, NSFP’s chief executive officer, will join the executive committee of UniCredit Markets & Investment Banking and also act as co-head of markets with specific responsibility for fixed income and currency, global credit and sales.
NewSmith was set up as an investment boutique by various alumni from Merrill Lynch, including Lim. They are well known to several of the senior management at UniCredit, including Edoardo Spezzotti, the head of UniCredit Markets & Investment Banking, who are also Merrill veterans.
In a press statement, Spezzotti says: “TJ Lim and his team are proven leaders in the markets businesses in large organizations and will bring additional wealth of experience to our bank.”