Nomura cuts about 10 investment banking jobs in Hong Kong - sources
25/10/2023 10:29
By Scott Murdoch and Selena Li
SYDNEY, Oct 25 (Reuters) - Japanese investment bank
Nomura Holdings 8604.T has laid off about 10 of its Hong
Kong-based investment bankers, including some who were focused
on China-related deals, said two sources with direct knowledge
of the matter.
The sources, who spoke on condition of anonymity because
they were discussing confidential information, said the cuts
were announced this week, and ranged from junior to top-ranking
bankers, including managing directors and executive directors.
Nomura declined to comment when reached by Reuters.
The Japanese investment bank has seen its China-linked
fortunes slipping lately.
Nomura's merger and acquisition fee revenue for the first
three quarters of 2023 fell by 40.4% to $68.8 million in the
Asia Pacific region, including Japan, according to LSEG data.
Nomura did not feature on the league tables of the top 25
advisors on China-related buyout deals compiled by LSEG for the
first nine months of the year.
Its fortunes in regional equity capital markets were boosted
by its leading advisory role in March on the $9.24-billion stake
sale by Japan Post Holdings 6178.T in Japan Post Bank
Co 7182.T .
Leading U.S. and European banks, such as Goldman Sachs
G.S , Bank of America BAC.N , Citigroup C.N and UBS
UBSG.S , have launched rounds of layoffs this year in their
Asia investment banking units.
The cuts were attributed to softening the blow of slowing
dealmaking activities due to rising rates, weaker-than-expected
Chinese economic recovery and Beijing's regulatory crackdown.
Total dealmaking activity involving China dropped 21.2% in
the first three quarters compared to the same time last year,
LSEG data showed.
(Reporting by Scott Murdoch in Sydney and Selena Li in Hong
Kong
Editing by Helen Popper)
((Scott.Murdoch@thomsonreuters.com;))