Joseph Gatto and Ros Stephenson will co-head corporate finance, newly created positions reporting to Skip McGee, global head of IBD. Stephenson retains responsibility as global co-head of the financial sponsors group along with Richard Atterbury.
To help in the transition, John Miller was named as US head of financial sponsors, reporting to both Stephenson, his previous report, and to Atterbury. Gatto continues as chairman of the bank’s global M&A group.
These appointments may have contributed to the sudden departure of George “Woody” Young, its global head of telecommunications. The senior-level manoeuvrings might not be related, though both are indicative of the growth of the investment banking division (IBD). The loss of Young, who resigned abruptly just before the Gatto/Stephenson announcement, is a significant blow to the bank.
He was responsible for advising SBC Communications on a series of lucrative transactions that culminated in the creation of AT&T.
Telecoms is among the largest groups within IBD and, as a result, the bank could find a replacement internally, though no announcement has been made.