Saudi Arabia’s PIF working with Klein and Evercore on strategy

The Saudi Public Investment Fund will work with former Citigroup banker Michael Klein and Evercore Bank in all aspects of the PIF investment strategy and financial planning. (Courtesy Saudi PIF)
Updated 10 November 2017
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Saudi Arabia’s PIF working with Klein and Evercore on strategy

RIYADH: The Saudi Public Investment Fund (PIF) will work with former Citigroup banker Michael Klein and Evercore Bank in all aspects of the PIF investment strategy and financial planning, informed sources said.
According to Bloomberg news, Klein is advising the PIF on its strategic partnerships with international companies by working closely with the fund’s chief executive, Yasser Al-Rumayan, the sources said. Evercore is providing advice on strategy and funding options.
The roles of both Citigroup and Evercore will help to support the economic transformation of the Kingdom and Vision 2030. Both are working on the initial public offering (IPO) of the giant oil company Aramco.
Klein is providing strategic advice to the government regarding Aramco’s IPO, while Evercore serves as a public offering financial adviser.
Klein has extensive experience in mergers and acquisitions. He has played an important role in providing advice on many of the huge deals executed in the last few years.


Goldman Sachs’ second quarter profit up 44 pct; CEO Blankfein to retire

Updated 17 July 2018
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Goldman Sachs’ second quarter profit up 44 pct; CEO Blankfein to retire

  • The New York-based bank said Tuesday that earnings reached $2.35 billion in the second quarter
  • Nearly all of Goldman’s businesses saw double-digit growth in the second quarter

NEW YORK: Goldman Sachs’ profits jumped 44 percent in the second quarter compared with a year ago, driven by the investment bank’s core franchises: advising companies on mergers, acquisitions and other deals, and its trading business.
The New York-based bank said Tuesday that earnings reached $2.35 billion in the second quarter, compared with $1.63 billion a year earlier. On a per-share basis, Goldman earned $5.98 a share, compared with $3.95 a share a year earlier, beating analysts’ forecasts of $4.65 a share.
Separately, Goldman said Chief Executive Officer Lloyd Blankfein will retire as of Oct. 1, and be replaced by David Solomon, the president and chief operating officer. Blankfein has been CEO since 2006.
Nearly all of Goldman’s businesses saw double-digit growth in the second quarter. Trading was particularly strong. Goldman’s institutional client services division, which contains the firm’s trading operations, posted net revenues of $3.57 billion in the quarter, up 17 percent from a year earlier.
Goldman’s trading performance can be fickle, driven by whether the market was volatile that quarter and whether the right sort of securities saw the right sort of movement. Like its competitor Morgan Stanley, which will report results Wednesday, Goldman has been looking to diversify its businesses, moving in recent years into consumer lending and consumer banking.
Goldman’s investment banking business also had a solid quarter, posting net revenues of $2.05 billion, which is up 18 percent from a year earlier. The firm saw both higher underwriting revenue, as well as revenue for advisory services.
The firm’s return on equity ratio, a closely watched performance gauge for banks like Goldman Sachs which measures how much money the bank earned with the money investors have lent it, was 12.8 percent in the quarter. Banks like Goldman try to keep that figure above 10 percent.
Company-wide net revenues were $9.4 billion in the quarter, also beating analysts’ expectations.
Goldman shares fell 0.8 percent to $229.25 in premarket trading.