Overview

Macquarie Group to Acquire Regal Capital Advisors, LLC

10 March 2011

  • REGAL Capital Advisors is a leading advisory firm specializing in the gaming, lodging and leisure industries
  • Acquisition continues Macquarie’s sector focused expansion in North America and further strengthens its advisory services and capital markets capabilities
  • Creates a full-service, global gaming, lodging and leisure platform
  • Clients benefit from extensive capabilities and significant industry expertise

NEW YORK - Macquarie Group (“Macquarie”) (ASX: MQG; ADR: MQBKY) today announced that it has entered into an agreement to acquire REGAL Capital Advisors, LLC (“REGAL”), a Los Angeles-based boutique investment bank focused on the gaming, lodging and leisure industries. REGAL provides a broad range of advisory services to clients, including mergers and acquisitions, capital raising, debt and equity placements, and debt restructuring.

The addition of REGAL, a firm with considerable industry experience and client relationships, further strengthens Macquarie’s US capabilities. The combined platform will have a 23-person team and a robust pipeline of active and prospective transactions. The REGAL team will relocate to Macquarie’s Los Angeles office.

REGAL is led by David Berman, who has over 17 years of gaming, lodging and leisure industry experience. Prior to founding REGAL, Mr. Berman was Managing Director and Head of the Gaming, Lodging and Leisure investment banking group at Credit Suisse, and held similar roles at CIBC World Markets and Oppenheimer & Co. He has executed more than 75 advisory mandates with a combined transaction value over $65 billion and more than 175 debt and equity capital raising transactions totaling over $100 billion for clients in the gaming, lodging and leisure sectors.

Upon completion of the transaction, REGAL will be fully integrated into Macquarie and its existing industry coverage groups. Mr. Berman will be a Senior Managing Director and will be appointed Head of Gaming, Lodging & Leisure for North America reporting to both Tim Bishop, CEO of Macquarie Capital (USA) Inc. and to Alex Harvey, Global Head of Telecommunications, Media, Entertainment and Technology, which includes Macquarie’s coverage of the gaming industry.

“This strategic acquisition greatly adds to our advisory and capital markets franchise in the US, strengthens our West Coast presence, and is yet another example of our commitment to growing our business in the region,” said Mr. Bishop

“We look forward to collaborating with REGAL’s seasoned industry professionals, given their strong deal expertise and network of client relationships across the global gaming and lodging industries,” added Mr. Harvey. “With our expanded team we can build on our successful gaming practice in the US and on our established position in the sector in the Asia-Pacific region. We will be able to provide our gaming clients with the best advisory solutions for regional as well as cross-border transactions.”

“This combination of experience and skill sets creates an attractive proposition for clients,” said Mr. Berman. “By joining the Macquarie platform, we will combine our sector knowledge and relationships with the extensive capital markets capabilities and global presence of a full-service financial institution,” he added. “We look forward to working within a like-minded organization that understands the importance of providing sector-specific advice and solutions, as well as a full range of product offerings.”

The terms of the transaction were not disclosed. The transaction is expected to close in the first half of 2011, subject to regulatory approvals and other customary closing conditions.

About Macquarie
Macquarie Group (Macquarie) is a global provider of banking, financial, advisory, investment and funds management services. Macquarie’s main business focus is making returns by providing a diversified range of services to clients. Founded in 1969, Macquarie operates in more than 70 office locations in 28 countries and employs more than 15,400 people. Assets under management total approximately US$324 billion as at September 30, 2010. For more information, visit www.macquarie.com.

Contacts:

Stephen Yan
Corporate Communications
Macquarie Group, New York
Tel: +1 212 231 1310
Email: stephen.yan@macquarie.com