(Bloomberg) — Five bulge-bracket banks and one boutique are advising on Elon Musk’s $44 billion deal for Twitter Inc., the biggest leveraged buyout in years.
Goldman Sachs Group Inc., JPMorgan Chase & Co. and the boutique investment bank Allen & Co. advised Twitter, according to a statement Monday. Morgan Stanley is Musk’s lead adviser, with Bank of America Corp. and Barclays Plc also advising.
It’s not clear how much they will be divvying up, though traditionally M&A banker fees range from 1% to 3% of the value of the deal. That would work out to several hundred million dollars in this instance.
The deal is a coup for Allen, the only boutique in the mix. The New York-based firm, which specializes in media deals, is perhaps best known for its annual conference in Sun Valley, Idaho, which draws top names in media and finance.
At least nine other banks are helping Morgan Stanley, Bank of America and Barclays provide $25.5 billion in debt for the deal, including Credit Suisse Group AG, BNP Paribas SA, Citigroup Inc. and Deutsche Bank AG.
The transaction solidifies Goldman Sachs’ position as the top M&A adviser so far this year, working on about $379 billion in deals, according to data compiled by Bloomberg. It is followed by Bank of America and JPMorgan Chase, respectively.
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