merchant bank

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Merchant bank

A British term for a bank that specializes not in lending out its own funds, but in providing various financial services such as accepting bills arising out of trade, underwriting new issues, and providing advice on acquisitions, mergers, foreign exchange, portfolio management, etc.

merchant bank

An investment bank that commits its own funds by taking a creditor position or equity interest in another firm. For example, a merchant bank may provide temporary financing for a leveraged buyout.

merchant bank

a BANK which offers a range of financial facilities and services to clients. The merchant banks are still involved in what was their original business, namely the provision of merchandise finance, in the form of ‘acceptance’ notes on BILLS OF EXCHANGE to importers and exporters to cover products in transit. They have extended their interests variously into investment management, stockbroking, MARKET MAKING and corporate finance (see VENTURE CAPITAL). In the latter capacity, merchant banks arrange new stock and share issues on behalf of corporate clients (see SHARE ISSUES) and UNDERWRITE such issues. Merchant banks nowadays play a particularly prominent role in advising corporate clients on MERGERS and TAKEOVER BID tactics and in putting together the financial terms and details of such deals. See BANKING SYSTEM, INVESTMENT BANK.

merchant bank

a BANK that offers a range of financial facilities and services to clients. The merchant banks are still involved in what was their original business, namely the provision of merchandise finance in the form of ‘acceptance’ notes on BILLS OF EXCHANGE to importers and exporters to cover products in transit. They have variously extended their interests into investment management, stockbroking, market-making (see MARKET MAKER) and corporate finance (see VENTURE CAPITAL). In the latter capacity, merchant banks arrange new stock and SHARE ISSUES on behalf of corporate clients and UNDERWRITE such issues. Merchant banks nowadays play a particularly prominent role in advising corporate clients on MERGERS and TAKEOVER BID tactics and in putting together the financial terms and details of such deals. See BANKING SYSTEM.
References in periodicals archive ?
Rothschild Merchant Banking is the investment arm of the Rothschild & Co group, managing over USD 10 billion in capital globally.
Masahiko Maekawa, currently Executive Vice President of Nomura Trust and Banking, will be appointed as Senior Managing Director of Nomura Holdings, Head of Merchant Banking, also effective January 1,2018.
The Samena story is not a stand-alone one in the return of merchant banking. In the era following the financial crisis, nearly a dozen outfits on both sides of the Atlantic have shown their keenness to go back to the good old investor network-based merchant banking model.
Venture Merchant Banking: Measured and Organized Growth
The Authority and Requirements for Merchant Banking Investments.
LGC Capital Ltd (TSXV: LG) (LGC) has said that it has launched a new merchant banking division.
Opus Bank (NASDAQ: OPB) has announced that its Merchant Banking division, through its broker-dealer subsidiary, Opus Financial Partners, served as financial advisor to Destination Pet, LLC ("Destination Pet"), a provider of a broad array of pet care services, on its placement of USD 30 million of debt and equity growth capital, the company said.
The funding structure Capital Corp Merchant Banking has devised consists of providing its client with USUSD3.5M in common stock, USUSD8M in debenture.
Capital Corp Merchant Banking will be open to mid-sized manufacturing projects in the amounts of $3.5 million to $12.5 million through the financing instrument of equity funding, wherein the investor (i.e.
When I last appeared before this subcommittee to address the topic of merchant banking, the Board and the Department of the Treasury were in the middle of considering comments on rules we had proposed only recently before the testimony.
Global Banking News-July 22, 2016--Opus Bank announces expansion of its merchant banking team
M2 EQUITYBITES-April 21, 2016-Capital Corp Merchant Banking funds hydro power plant in Ecuador