(Corrects underwriter ranking, value of transactions in ninth paragraph of story published Dec. 28.)
Capote, who was head of investment banking for Goldman Sachs Mexico, started Dec. 12 at Citigroup, according to an internal memo obtained by Bloomberg News and confirmed by Rob Julavits, a spokesman for the New York-based bank.
Citigroup is competing with bankers from Banco Bilbao Vizcaya Argentaria SA and Credit Suisse Group AG to win underwriting fees after Mexican companies raised a record amount in equity offerings this year. Soaring stock valuations have also boosted mergers and acquisitions activity in Latin America’s second-biggest economy, with Anheuser-Busch InBev NV agreeing this year to pay about $20 billion for the half of Corona-maker Grupo Modelo SAB that it didn’t already own.
Capote had been with Goldman Sachs since 2006, and he has also worked at Morgan Stanley (MS), according to the memo, which was sent to staff of Citigroup’s Mexican banking unit, Banamex. The memo was signed by Banamex Chief Executive Officer Javier Arrigunaga and Eduardo Cruz, who is head of Latin America investment banking.
Capote holds a master’s degree in finance from the Kellogg School of Management at Northwestern University in Evanston, Illinois, according to the memo.
Tiffany Galvin, a spokeswoman for Goldman Sachs in New York, declined to comment on Capote’s departure.
The banker was named managing director at Goldman Sachs in 2007, a year after joining the firm, according to a biography on the website of the World Economic Forum. He has helped execute transactions in industries including real estate, telecommunications, finance and energy, the website shows.
Profit from continuing operations at Citigroup’s Latin America securities and banking unit increased 33 percent to $1.03 billion for the first nine months of 2012 from the same period last year. The division includes trading operations as well as investment banking.
Citigroup helped Mexican companies issue about $5.7 billion in equity in 2012, putting it first among the nation’s underwriters, according to data compiled by Bloomberg. It also issued 51.9 billion pesos of local currency debt for businesses, the most in the market after BBVA, Bloomberg data show.
The benchmark IPC index of 35 Mexican companies has soared 18 percent this year and touched a record on Dec. 18. Banco Santander SA fueled this year’s issuance pickup with the nation’s biggest ever equity share sale, while real-estate securities accounted for three of the bourse’s 10 equity offerings in 2012, Bloomberg data show.