Goldman Sachs Expands Mid-Market Advisory with Strategic Hires

Goldman Sachs has announced the recruitment of investment bankers Kerry Burke from Evercore and Eddie Rubin from Lazard as part of its strategy to strengthen its mid-market deal advisory segment, targeting transactions valued up to $2 billion.

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Traditionally renowned for its involvement in large-scale deals, Goldman Sachs has been shifting focus in recent years to smaller transactions to diversify and enhance its revenue streams. Kerry Burke, an expert in retail and apparel sectors from Evercore, will commence his role at Goldman in August. Eddie Rubin, who specializes in digital infrastructure deals, began his tenure at the bank in April.

The bank established its cross markets group (CMG) in 2019, with veteran banker David Friedland leading the initiative. The group's objective is to capture a larger share of advisory fees from smaller acquisitions. “Our team members involved in middle-market deals appreciate the entrepreneurial nature of the business, engaging with family-owned and founder-run businesses, sponsor portfolio companies, and rapidly growing firms. This segment is highly appealing for Goldman Sachs,” stated Friedland, a partner at Goldman.

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Throughout his 26-year career at Goldman, Friedland has advised high-profile clients in the consumer and retail sectors, notable deals include Brookfield Property's acquisition of GGP and Las Vegas Sands' $6.3 billion sale of its Vegas properties, including the Venetian casino resort.

The CMG, which currently consists of 200 employees, focuses on five key industries: consumer & retail, real estate, financial institutions, technology media & telecom, and natural resources. These sectors are overseen by 10 senior bankers. Additionally, Goldman recently reassigned M&A banker Todd Byers to the CMG unit to bolster private equity dealmaking.

In recent years, leading boutique investment banks like Evercore, Centerview Partners, and PJT Partners have aggressively recruited top dealmakers to secure a larger share of high-value deals. This trend has opened opportunities for major firms like Goldman Sachs, Morgan Stanley, and JPMorgan Chase to capture fees from mid-market deals that boutique firms and other top-tier rivals may overlook.

The current slowdown in dealmaking and stricter regulatory environment have driven major banks to seek new revenue opportunities. Data from Dealogic indicates that the number of M&A transactions valued between $500 million and $2 billion has increased by 19% to 206 in the Americas and EMEA regions this year. Goldman Sachs has been involved in 39 of these deals, marking a 44% increase from the same period last year.

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