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{{Short description|Former British investment bank (1946–1995)}}
{{copy edit|date=January 2018}}
{{EngvarB|date=June 2018}}

{{Use dmy dates|date=June 2018}}
{{Infobox company
{{Infobox company
| name = S. G. Warburg & Co.
| name = S. G. Warburg & Co.
| logo =
| logo = [[File:Sbc-Warburg_logo_(1996).png|250px]]
| logo_size = 250px
| type = [[Public company|Public]]
| type = Public company
| caption =
| caption =
| fate = Acquired
| fate = Acquired
| successor = [[Swiss Bank Corporation]]
| successor = [[Swiss Bank Corporation]] and [[UBS]]
| foundation = 1946
| foundation = 1946
| defunct = 1995
| defunct = 1995
| location = [[London]], [[United Kingdom|UK]]
| location = London, UK
| industry = [[Bank]]ing
| industry = Banking
| key_people = Sir [[Siegmund George Warburg]], ([[Chairman]])
| key_people = Sir [[Siegmund George Warburg]], (chairman)
| products =
| products =
| num_employees = 6,000
| num_employees = 6,000
Line 18: Line 20:
| subsid =
| subsid =
}}
}}
'''S. G. Warburg & Co.''' was a [[London]]-based investment bank. It was listed on the [[London Stock Exchange]] and was once a constituent of the [[FTSE 100 Index]]. The firm was acquired by the [[Swiss Bank Corporation]] in 1995 and ultimately became a part of [[UBS]].
'''S. G. Warburg & Co.''' was a London-based investment bank. It was listed on the [[London Stock Exchange]] and was once a constituent of the [[FTSE 100 Index]]. The firm was acquired by the [[Swiss Bank Corporation]] in 1995 and ultimately became a part of [[UBS]].


==History==
==History==


===Founding and Early History===
===Founding and early history===
This bank was founded in 1946 by [[Siegmund George Warburg|Siegmund Warburg]] and [[Henry Grunfeld]]. Siegmund was a member of the [[Warburg family]], a prominent [[Germany|German]]-[[Jew]]ish banking family. Henry Grunfeld was a former industrialist in the German steel industry, and is also Jewish.<ref name=today>[http://www.managementtoday.co.uk/search/article/411031/uk-outsider-changed-city/ Outsider who changed the City]{{dead link|date=May 2017 |bot=InternetArchiveBot |fix-attempted=yes }} Management Today, 1 November 1998</ref> Warburg and Grunfeld fled [[Nazi Germany]] in the 1930s.<ref name=today/>
This bank was founded in 1946 by [[Siegmund George Warburg|Siegmund Warburg]] and [[Henry Grunfeld]]. Siegmund was a member of the [[Warburg family]], a prominent German-[[Jew]]ish banking family. Henry Grunfeld was a former industrialist in the German steel industry, and is also Jewish.<ref name=today>{{cite web|url=https://www.managementtoday.co.uk/uk-outsider-changed-city/article/411031|title= Outsider who changed the City|publisher= Management Today|date= 1 November 1998|accessdate=11 February 2018}}</ref> Warburg and Grunfeld fled [[Nazi Germany]] in the 1930s.<ref name=today/>


S.G. Warburg and Co. were recognized for its pioneering mergers and takeover work in the UK in the 1960s. These works included the first ever hostile takeover in the UK and the first-ever [[Eurobond]] issue, which fostered the new [[Eurodollar]] market. The firm's acquisition of [[J.&W. Seligman & Co.|Seligman Bros.]] in 1957 was a significant event in its rise to prominence; through this, Warburg gained a place on the Accepting Houses Committee, which is composed of the seventeen top merchant banks with access to cheap capital backed by the Bank of England.<ref>Chernow, p. 646</ref>
S.&nbsp;G. Warburg and Co. were recognised for its pioneering mergers and takeover work in the UK in the 1960s. These works included the first ever hostile takeover in the UK and the first-ever [[Eurobond (international)|Eurobond]] issue, which fostered the new [[Eurodollar]] market. The firm's acquisition of [[J.&W. Seligman & Co.|Seligman Bros.]] in 1957 was a significant event in its rise to prominence; through this, Warburg gained a place on the Accepting Houses Committee, which is composed of the 17 top merchant banks with access to cheap capital backed by the [[Bank of England]].<ref>Chernow, p. 646</ref>


In 1958-1959, [[Tube Investments]], advised by S. G. Warburg & Co, fought a fierce and ultimately successful battle to acquire [[British Aluminium]]. This battle is now remembered as the ''Aluminium War''.<ref name=today/>
In 1958–1959, [[Tube Investments]], advised by S.&nbsp;G. Warburg & Co, fought a fierce and ultimately successful battle to acquire [[British Aluminium]] in a bidding war with a consortium of City of London bankers led by [[Morgan Grenfell]]. This battle is now remembered as the "Aluminium War"<ref name=today/> and started a shift away from relational banking towards competitive banking.<ref>{{cite book |last=Chernow |first=Ron |title=The House of Morgan: An American Banking Dynasty and the Rise of Modern Finance|chapter=26|publisher= Grove Press |year=2010 |isbn=978-0802144652}}</ref>


===The 1960s, 1970s, and 1980s===
===The 1960s, 1970s, and 1980s===
⚫
The bank gained clients and grew rapidly in the 1960s and 1970s. In the early 1970s, S.&nbsp;G. Warburg entered into a U.S. joint venture with Paris-based [[Paribas]] (Banque de Paris et des Pays-Bas, prior to the bank's nationalisation in 1982) named Mercury Securities.<ref>Manfred Pohl, Sabine Freitag. ''[https://books.google.com/books?id=eXvfNDHpfWwC&pg=PA250 Handbook on the history of European banks]''. Edward Elgar Publishing, 1994</ref><ref name=FT1982>"The Financial Times has examined the problems which caused S.&nbsp;G. Warburg, a Mercury Securities subsidiary, and Paribas to lift their joint stake in A G Becker-Warburg Paribas Becker to just over 50%." ''Financial Times'', 13 July 1982</ref> In 1974, S.&nbsp;G. Warburg and [[Paribas]] took a 40% interest in [[A.G. Becker & Co.]], a U.S.-based brokerage. Although the joint venture initially provided an international dimension for its three members, the relationships soured in the late 1970s and early 1980s.<ref name=illfated>[https://www.nytimes.com/1984/08/07/business/becker-paribus-an-ill-fated-union.html "Becker Paribus: An Ill-Fated Union"]. ''The New York Times'', 7 August 1984</ref> The joint venture was plagued by competition between Warburg and [[Paribas]], as well as cultural conflicts between French, English, and American executives. Although Warburg had originally planned to buy out Paribas, after [[Siegmund Warburg]]'s death, Paribas bought out Warburg's interest in the joint venture in early 1983. Following the departure of Warburg from the joint venture, the firm was renamed A.G. Becker Paribas.<ref name=illfated /><ref>[https://www.nytimes.com/1983/03/24/business/french-partner-to-buy-british-share-in-becker.html "French Partner To Buy British Share In Becker"]. ''The New York Times'', 24 March 1983</ref><ref>Kathryn Rudie Harrigan. ''[https://books.google.com/books?id=JeY_afXHSnEC&pg=PA208 Joint Ventures, Alliances, and Corporate Strategy]''. Beard Books, 2003</ref>
The bank gained clients and grew rapidly in the 1960s and 1970s. The companies strong work ethic and rigorous intellectual culture stood in stark contrast to the gentlemanly and clubbable environment of the traditional [[City of London|City]] houses.


⚫
A major participant in the "[[Big Bang (financial markets)|Big Bang]]" reforms of the 1980s under the leadership of its chief executive Sir David Scholey, it acquired [[stockjobber]] Ackroyd & Smithers, stockbroker [[Rowe & Pitman]], and the government [[Gilt-edged securities|gilt]] broker [[Mullens & Co.]] in August 1984.<ref>{{cite news|url=https://www.nytimes.com/1984/08/15/business/4-way-warburg-tie-is-palnned.html|title=Four-Way Warburg Tie is Planned|newspaper=New York Times|date=15 August 1984|access-date=11 December 2022}}</ref> The bank became the preeminent UK-based M&A ([[Mergers and acquisitions|merger and acquisition]]) adviser, equity underwriter, research house and (via its [[Mercury Asset Management]] subsidiary) asset manager by the early 1990s. At its peak more than half the companies on the [[FTSE 100]] used Mercury Asset Management for investment management purposes.<ref>[http://www.ml.com/index.asp?id=7695_8134_8296_14044_14074_6369 Merrill Lynch and Mercury Asset Management Combine to Create One of the World's Largest Fund Management Groups] {{webarchive|url=https://web.archive.org/web/20081203143931/http://www.ml.com/index.asp?id=7695_8134_8296_14044_14074_6369 |date=3 December 2008 }} Merrill Lynch, 19 November 1997</ref>
⚫
In the early 1970s, S.G. Warburg entered into a U.S. joint-venture with Paris-based [[Paribas]] (Banque de Paris et des Pays-Bas, prior to the bank's nationalization in 1982) named Mercury Securities.<ref>Manfred Pohl, Sabine Freitag. ''[https://books.google.com/books?id=eXvfNDHpfWwC&pg=PA250 Handbook on the history of European banks]''. Edward Elgar Publishing, 1994</ref><ref name=FT1982>"The Financial Times has examined the problems which caused S G Warburg, a Mercury Securities subsidiary, and Paribas to lift their joint stake in A G Becker-Warburg Paribas Becker to just over 50%." Financial Times, July 13, 1982</ref> In 1974, S.G. Warburg and [[Paribas]] took a 40% interest in [[A.G. Becker & Co.]], a U.S. based brokerage. Although the joint-venture initially provided an international dimension for its three members, the relationships soured in the late 1970s and early 1980s.<ref name=illfated>[https://www.nytimes.com/1984/08/07/business/becker-paribus-an-ill-fated-union.html Becker Paribus: An Ill-Fated Union]. New York Times, August 7, 1984</ref> The joint-venture was plagued by competition between Warburg and [[Paribas]], as well as cultural conflicts between French, English and American executives. Although Warburg had originally planned to buy out Paribas, after [[Siegmund Warburg]]'s death, Paribas bought out Warburg's interest in the joint venture in early 1983. Following the departure of Warburg from the joint venture, the firm was renamed A.G. Becker Paribas.<ref name=illfated /><ref>[https://www.nytimes.com/1983/03/24/business/french-partner-to-buy-british-share-in-becker.html French Partner To Buy British Share In Becker]. New York Times, March 24, 1983</ref><ref>Kathryn Rudie Harrigan. ''[https://books.google.com/books?id=JeY_afXHSnEC&pg=PA208 Joint Ventures, Alliances, and Corporate Strategy]''. Beard Books, 2003</ref>


⚫
===Swiss Bank Corporation acquisition===
⚫
A major participant in the "[[Big Bang (financial markets)|Big Bang]]" reforms of the 1980s under the leadership of its Chief Executive Sir David Scholey, it acquired [[stockjobber]] Ackroyd & Smithers, stockbroker Rowe & Pitman, and the government [[Gilt-edged securities|gilt]] broker [[Mullens & Co.]] The bank became the preeminent UK-based M&A ([[Mergers and acquisitions|merger and acquisition]]) adviser, equity underwriter, research house and (via its [[Mercury Asset Management]] subsidiary) asset manager by the early 1990s, employing some 6,000 people worldwide.
⚫
Following another flawed and costly expansion into the United States, in 1994 a merger was announced with [[Morgan Stanley]], but the talks collapsed.<ref>[http://findarticles.com/p/articles/mi_hb5037/is_199412/ai_n18299180 "Jilted: Morgan Stanley and S.&nbsp;G. Warburg"], ''The Economist'', December 1994</ref>


⚫
The following year S.&nbsp;G. Warburg was purchased by [[Swiss Bank Corporation]].<ref>[https://query.nytimes.com/gst/fullpage.html?res=990CE5DD113EF932A25756C0A963958260 "Swiss Bank in deal to buy S.&nbsp;G. Warburg"], ''The New York Times'', 11 May 1995</ref> Swiss Bank Corporation merged S.&nbsp;G. Warburg with its own existing investment banking unit to create SBC Warburg, which became a leading player in global investment banking.<ref name=SBC-FUHistory>[http://www.fundinguniverse.com/company-histories/SBC-Warburg-Company-History.html "SBC Warburg Company History"]. ''Funding Universe''. Retrieved 10 August 2010</ref> In 1997, SBC Warburg was merged with U.S. investment bank [[Dillon, Read & Co.]] to create [[Warburg Dillon Read]].<ref>{{cite news | url=https://www.nytimes.com/1997/05/16/business/swiss-bank-steps-up-to-buy-dillon-read-on-rebound.html | title=Swiss Bank Steps Up to Buy Dillon, Read on Rebound | first=PETER | last=TRUELL | work=[[The New York Times]] | date=16 May 1997}}</ref>
⚫
===Purchase by the Swiss Bank Corporation (1995)===
⚫
Following another flawed and costly expansion into the US, in 1994 a merger was announced with [[Morgan Stanley]], but the talks collapsed.<ref>[http://findarticles.com/p/articles/mi_hb5037/is_199412/ai_n18299180 Jilted: Morgan Stanley and S.G. Warburg] The Economist, December 1994</ref>


⚫
After the merger of [[Swiss Bank Corporation]] and [[Union Bank of Switzerland]] in 1998, [[Warburg Dillon Read]] was renamed, [[UBS Warburg]]. The Warburg name was finally retired in 2003 when the investment banking operation of [[UBS]] was renamed [[UBS Investment Bank]].<ref>[https://www.telegraph.co.uk/finance/2833426/UBS-means-RIP-for-Warburg.html "UBS means RIP for Warburg"], ''The Telegraph'', 13 November 2002</ref>
⚫
The following year S.G. Warburg was purchased by [[Swiss Bank Corporation]].<ref>[https://query.nytimes.com/gst/fullpage.html?res=990CE5DD113EF932A25756C0A963958260 Swiss Bank in deal to buy S.G. Warburg] New York Times, May 11, 1995</ref> Swiss Bank Corporation merged S.G. Warburg with its own existing investment banking unit to create SBC Warburg, which became a leading player in global investment banking.<ref name=SBC-FUHistory>[http://www.fundinguniverse.com/company-histories/SBC-Warburg-Company-History.html SBC Warburg Company History]. Funding Universe, Retrieved August 10, 2010</ref> In 1997, SBC Warburg was merged with U.S. investment bank [[Dillon, Read & Co.]] to create [[Warburg Dillon Read]].

⚫
After the merger of [[Swiss Bank Corporation]] and [[Union Bank of Switzerland]] in 1998, [[Warburg Dillon Read]] was renamed, [[UBS Warburg]]. The Warburg name was finally retired in 2003 when the investment banking operation of [[UBS]] was renamed [[UBS Investment Bank]].<ref>[http://www.telegraph.co.uk/finance/2833426/UBS-means-RIP-for-Warburg.html UBS means RIP for Warburg]. The Telegraph, Nov 13, 2002</ref>


== Notable current and former employees ==
== Notable current and former employees ==


===Business===
===Business===
* [[Thomas Bscher]], Former Managing Director of [[Bugatti Automobiles SAS]]
* [[Thomas Bscher]], former managing director of [[Bugatti Automobiles SAS]]
* [[Simon Cairns, 6th Earl Cairns]], Managing Director 1979-1985
* [[Simon Cairns, 6th Earl Cairns]], managing director 1979–1985
* [[Michael Cohrs]], Member of Court and Financial Policy Committee [[Bank of England]]
* [[Michael Cohrs]], Member of Court and Financial Policy Committee [[Bank of England]]
* [[John Cryan]], Chief Financial Officer, [[UBS AG]]
* [[John Cryan]], chief financial officer, [[UBS AG]]
* [[Derek Higgs|Sir Derek Higgs]], Chairman of [[Alliance & Leicester]]
* [[Paul Desmarais, Jr.]], co-chief of [[Power Corporation of Canada]]
* [[Derek Higgs|Sir Derek Higgs]], chairman of [[Alliance & Leicester]]
* [[Nicola Horlick]], Founder of Bramdean Asset Management
* [[Nicola Horlick]], founder of Bramdean Asset Management
* [[Paul Desmarais, Jr.]], Co-Chief of Power Corporation du Canada
* [[Hugh Stevenson (investment banker)|Sir Hugh Stevenson]], Chairman of [[Mercury Asset Management]] (1992–1998), Chairman of [[Equitas]] (1998–2009)
* [http://www.ipo-book.com/the-author/ Philippe Espinasse], Former Head of Asia Equity Capital Markets at [[Macquarie_Group|Macquarie]] and [[Nomura_Securities|Nomura]] and published author
* [[Ian Wace]], CEO of [[Marshall Wace]]
* [[Peter Wilmot-Sitwell]], board member of the Stock Exchange


===Politics===
===Politics===
* [[Peter Ainsworth]], former Shadow Environment Secretary
* [[Peter Ainsworth]], former Shadow Environment Secretary
* [[Korn Chatikavanij]], former Finance Minister for [[Thailand]]
* [[Robin Budenberg]], former chief executive, [[UK Financial Investments]]
* [[Korn Chatikavanij]], former finance minister for [[Thailand]]
⚫
* [[David Freud]], Parliamentary Under Secretary of State for Work and Pensions
* [[William Hopper (politician)|William Hopper]], former [[Member of the European Parliament]]
* [[William Hopper (politician)|William Hopper]], former [[Member of the European Parliament]]
* [[George Jellicoe, 2nd Earl Jellicoe|Earl Jellicoe]], former [[Lord Privy Seal]]
* [[George Jellicoe, 2nd Earl Jellicoe|Earl Jellicoe]], former [[Lord Privy Seal]]
⚫
* [[James Leigh-Pemberton]], chief executive, [[UK Financial Investments]]
⚫
* [[Shriti Vadera, Baroness Vadera|Baroness Vadera]], former Minister jointly for the Department for Business, Innovation and Skills and the Cabinet Office
* [[James Sassoon, Baron Sassoon|James Sassoon]], joined S.G. Warburg in 1985, became a director in 1995 and from 2000 to 2002 served as vice-chairman
⚫
* [[David Freud]], Parliamentary Under Secretary of State for Work and Pensions
⚫
* [[Shriti Vadera, Baroness Vadera|Baroness Vadera]], former minister jointly for the Department for Business, Innovation and Skills and the Cabinet Office
* [[Robin Budenberg]], former Chief Executive, [[UK Financial Investments]]
⚫
* [[James Leigh-Pemberton]], Chief Executive, [[UK Financial Investments]]


===Other===
===Other===
⚫
* [[Anthony Marreco]], one of the founding Directors of [[Amnesty International]]
* [[Hanns Alexander]], the captor of [[Rudolf Höss]], Kommandant of [[Auschwitz]]
* [[Hanns Alexander]], the captor of [[Rudolf Höss]], Kommandant of [[Auschwitz]]
⚫
* [[Anthony Marreco]], one of the founding directors of [[Amnesty International]]


==See also==
==See also==
{{Portal|Banks}}
*[[Dillon Read]]
*[[Warburg Dillon Read]]
* [[Dillon Read]]
*[[M.M.Warburg & CO]]
* [[Warburg Dillon Read]]
⚫
* [[M.M.Warburg & CO]]


==References==
==References==
{{reflist}}
{{Reflist}}
{{refbegin}}
*[http://www.fundinguniverse.com/company-histories/SBC-Warburg-Company-History.html SBC Warburg Company History]. Funding Universe, Retrieved August 10, 2010
{{refend}}


==Bibliography==
==Bibliography==
{{refbegin}}
{{refbegin}}
*{{cite book | author=WetFeet.com | title=The WetFeet.com Insider Guide: Warburg Dillon Read | publisher=WetFeet.com | location=San Francisco, CA | year=2001 | isbn=1-58207-078-4}}
*{{cite book | author=WetFeet.com | title=The WetFeet.com Insider Guide: Warburg Dillon Read | publisher=WetFeet.com | location=San Francisco, CA | year=2001 | isbn=1-58207-078-4}}
*{{cite book | author=[[Chernow, Ron]] | title=The Warburgs: The Twentieth-century Odyssey of a Remarkable Jewish Family | publisher=[[Random House]] | location=New York | year=1993 | isbn=0-679-41823-7}}
*{{cite book | author=Chernow, Ron | author-link=Chernow, Ron | title=The Warburgs: The Twentieth-century Odyssey of a Remarkable Jewish Family | publisher=[[Random House]] | location=New York | year=1993 | isbn=0-679-41823-7}}
*{{cite book | last=Attali | first=Jacques | title=A Man of Influence: The Extraordinary Career of S.G. Warburg | publisher=[[Adler & Adler]] | location=Bethesda, MD | year=1985 | isbn=0-917561-36-8}}
*{{cite book | last=Attali | first=Jacques | title=A Man of Influence: The Extraordinary Career of S.G. Warburg | publisher=Adler & Adler | location=Bethesda, MD | year=1985 | isbn=0-917561-36-8}}
*{{cite book | author=Farrer, David | title=The Warburgs: The Story of a Family | publisher=[[Stein and Day]] | location=New York | year=1974 | isbn=0-8128-1733-8}}
*{{cite book | author=Farrer, David | title=The Warburgs: The Story of a Family | publisher=[[Stein and Day]] | location=New York | year=1974 | isbn=0-8128-1733-8 | url-access=registration | url=https://archive.org/details/warburgsstoryoff00farrrich }}
{{refend}}
{{refend}}


{{UBS AG}}
{{UBS AG}}

{{Authority control}}


{{DEFAULTSORT:S. G. Warburg and Co.}}
{{DEFAULTSORT:S. G. Warburg and Co.}}
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[[Category:S. G. Warburg & Co.| ]]
[[Category:Investment banks]]
[[Category:Investment banks]]
[[Category:Defunct financial services companies of the United States]]
[[Category:Defunct financial services companies of the United States]]
[[Category:Warburg family]]
[[Category:Warburg family]]
[[Category:Former investment banks]]
[[Category:Former investment banks]]
[[Category:Financial services companies established in 1946]]
[[Category:Banks established in 1946]]
[[Category:Banks established in 1946]]
[[Category:Financial services companies disestablished in 1995]]
[[Category:Banks disestablished in 1995]]
[[Category:Banks disestablished in 1995]]
[[Category:Companies formerly listed on the London Stock Exchange]]
[[Category:Companies formerly listed on the London Stock Exchange]]
[[Category:Companies based in London]]
[[Category:UBS]]
⚫
[[Category:S. G. Warburg & Co.| ]]
[[Category:1946 establishments in England]]
[[Category:1946 establishments in England]]
[[Category:1995 mergers and acquisitions]]

⚫
#REDIRECT [[S. G. Warburg & Co.]]

Latest revision as of 04:35, 1 May 2024

S. G. Warburg & Co.
Company typePublic company
IndustryBanking
Founded1946
FounderHenry Grunfeld Edit this on Wikidata
Defunct1995
FateAcquired
SuccessorSwiss Bank Corporation and UBS
HeadquartersLondon, UK
Key people
Sir Siegmund George Warburg, (chairman)
Number of employees
6,000

S. G. Warburg & Co. was a London-based investment bank. It was listed on the London Stock Exchange and was once a constituent of the FTSE 100 Index. The firm was acquired by the Swiss Bank Corporation in 1995 and ultimately became a part of UBS.

History

[edit]

Founding and early history

[edit]

This bank was founded in 1946 by Siegmund Warburg and Henry Grunfeld. Siegmund was a member of the Warburg family, a prominent German-Jewish banking family. Henry Grunfeld was a former industrialist in the German steel industry, and is also Jewish.[1] Warburg and Grunfeld fled Nazi Germany in the 1930s.[1]

S. G. Warburg and Co. were recognised for its pioneering mergers and takeover work in the UK in the 1960s. These works included the first ever hostile takeover in the UK and the first-ever Eurobond issue, which fostered the new Eurodollar market. The firm's acquisition of Seligman Bros. in 1957 was a significant event in its rise to prominence; through this, Warburg gained a place on the Accepting Houses Committee, which is composed of the 17 top merchant banks with access to cheap capital backed by the Bank of England.[2]

In 1958–1959, Tube Investments, advised by S. G. Warburg & Co, fought a fierce and ultimately successful battle to acquire British Aluminium in a bidding war with a consortium of City of London bankers led by Morgan Grenfell. This battle is now remembered as the "Aluminium War"[1] and started a shift away from relational banking towards competitive banking.[3]

The 1960s, 1970s, and 1980s

[edit]

The bank gained clients and grew rapidly in the 1960s and 1970s. In the early 1970s, S. G. Warburg entered into a U.S. joint venture with Paris-based Paribas (Banque de Paris et des Pays-Bas, prior to the bank's nationalisation in 1982) named Mercury Securities.[4][5] In 1974, S. G. Warburg and Paribas took a 40% interest in A.G. Becker & Co., a U.S.-based brokerage. Although the joint venture initially provided an international dimension for its three members, the relationships soured in the late 1970s and early 1980s.[6] The joint venture was plagued by competition between Warburg and Paribas, as well as cultural conflicts between French, English, and American executives. Although Warburg had originally planned to buy out Paribas, after Siegmund Warburg's death, Paribas bought out Warburg's interest in the joint venture in early 1983. Following the departure of Warburg from the joint venture, the firm was renamed A.G. Becker Paribas.[6][7][8]

A major participant in the "Big Bang" reforms of the 1980s under the leadership of its chief executive Sir David Scholey, it acquired stockjobber Ackroyd & Smithers, stockbroker Rowe & Pitman, and the government gilt broker Mullens & Co. in August 1984.[9] The bank became the preeminent UK-based M&A (merger and acquisition) adviser, equity underwriter, research house and (via its Mercury Asset Management subsidiary) asset manager by the early 1990s. At its peak more than half the companies on the FTSE 100 used Mercury Asset Management for investment management purposes.[10]

Swiss Bank Corporation acquisition

[edit]

Following another flawed and costly expansion into the United States, in 1994 a merger was announced with Morgan Stanley, but the talks collapsed.[11]

The following year S. G. Warburg was purchased by Swiss Bank Corporation.[12] Swiss Bank Corporation merged S. G. Warburg with its own existing investment banking unit to create SBC Warburg, which became a leading player in global investment banking.[13] In 1997, SBC Warburg was merged with U.S. investment bank Dillon, Read & Co. to create Warburg Dillon Read.[14]

After the merger of Swiss Bank Corporation and Union Bank of Switzerland in 1998, Warburg Dillon Read was renamed, UBS Warburg. The Warburg name was finally retired in 2003 when the investment banking operation of UBS was renamed UBS Investment Bank.[15]

Notable current and former employees

[edit]

Business

[edit]

Politics

[edit]

Other

[edit]

See also

[edit]

References

[edit]
  1. ^ a b c "Outsider who changed the City". Management Today. 1 November 1998. Retrieved 11 February 2018.
  2. ^ Chernow, p. 646
  3. ^ Chernow, Ron (2010). "26". The House of Morgan: An American Banking Dynasty and the Rise of Modern Finance. Grove Press. ISBN 978-0802144652.
  4. ^ Manfred Pohl, Sabine Freitag. Handbook on the history of European banks. Edward Elgar Publishing, 1994
  5. ^ "The Financial Times has examined the problems which caused S. G. Warburg, a Mercury Securities subsidiary, and Paribas to lift their joint stake in A G Becker-Warburg Paribas Becker to just over 50%." Financial Times, 13 July 1982
  6. ^ a b "Becker Paribus: An Ill-Fated Union". The New York Times, 7 August 1984
  7. ^ "French Partner To Buy British Share In Becker". The New York Times, 24 March 1983
  8. ^ Kathryn Rudie Harrigan. Joint Ventures, Alliances, and Corporate Strategy. Beard Books, 2003
  9. ^ "Four-Way Warburg Tie is Planned". New York Times. 15 August 1984. Retrieved 11 December 2022.
  10. ^ Merrill Lynch and Mercury Asset Management Combine to Create One of the World's Largest Fund Management Groups Archived 3 December 2008 at the Wayback Machine Merrill Lynch, 19 November 1997
  11. ^ "Jilted: Morgan Stanley and S. G. Warburg", The Economist, December 1994
  12. ^ "Swiss Bank in deal to buy S. G. Warburg", The New York Times, 11 May 1995
  13. ^ "SBC Warburg Company History". Funding Universe. Retrieved 10 August 2010
  14. ^ TRUELL, PETER (16 May 1997). "Swiss Bank Steps Up to Buy Dillon, Read on Rebound". The New York Times.
  15. ^ "UBS means RIP for Warburg", The Telegraph, 13 November 2002

Bibliography

[edit]
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