If, like us, you thought that Deutsche Bank's London healthcare team had been all but eviscerated in June 2018, you might be surprised to learn that were still people left working in it after those mass exits five months ago. However, it now seems that there won't be people working in it for much longer.
Deutsche insiders say that five other members of the team have resigned in the past month. All are expected to join different banks.
Deutsche Bank didn't comment on the exits. They are thought to include: Hemant Kapoor, an associate in the healthcare team who moved to London from New York in 2016 and was expected to make vice president soon, but has apparently gone to J.P. Morgan instead; Vahit Allili, a vice president in the healthcare team who'd been with Deutsche since 2015 and is joining Lazard; Nikunj Mall, an associate on the healthcare team who joined as an analyst in 2016 after moving from India (also moving to Lazard); Charlotte Schaefer, an analyst who's understood to be joining a Canadian private equity fund; and Miemie Strydom, who's gone to a DaVita International, a company providing dialysis services.
The exits come as Deutsche Bank is trying to grow revenues in its investment banking business after declaring the restructuring of its the front office to be complete. However, with costs accounting for nearly 95% of revenues in the corporate and investment bank in the third quarter, there are suspicions that CEO Christian Sewing will have to make further cuts to senior bankers before the end of the year.
Some Deutsche MD's suggest "another big cull" is coming in the next few weeks as Sewing cuts heads before bonus time. "He needs revenue and he needs producers, so all he can do now is to cut a few more senior non-revenue producing MDs," says one.
In the meantime, Deutsche Bank's healthcare team isn't entirely devoid of staff. The bank still has two directors in London - Jacek Pawlowski and Nicholas Naillon. However, the team has no managing directors following the exit of head of healthcare Darren Campili to Barclays and redundancies in June. Juniors on the team were therefore fearful for their future flow of deals.
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