Three real estate-investment bankers at Credit Suisse Group AG (CSGN), UBS AG (UBSN) and Citigroup Inc. (C) are leaving to start their own company to tap rising demand for property transactions in Germany, three people with knowledge of the matter said.
Citigroup’s Sebastian Fuchs, Credit Suisse’s Christian Schlueter and UBS’s Stefan Bartschat will help run the firm, said the people, who asked not to be identified because the talks are private. The Frankfurt-based company, due to begin operations in January, will advise property investors on mergers and acquisitions, strategy and equity raising, and will include Bernd Janssen, who will be head of research and a founding partner, one of the people said.
Spokesmen at Credit Suisse, UBS and Citigroup declined to comment.
Demand for real estate advisers has jumped in Germany in the past three years as more property companies sell shares to the public. German property companies this year raised the most from stock and bond sales since 2006 as investors including Fortress Investment Group LLC (FIG) and Goldman Sachs Group Inc. took advantage of the country’s booming housing market to sell stakes and refinance debt, according to data compiled by Akselrod Consulting and Barkow Consulting GmbH.
Deutsche Annington Immobilien SE, Gagfah SA (GFJ) and LEG Immobilien AG (LEG) led deals that raised 10.7 billion euros ($14.6 billion) this year through October, more than triple the total for 2012, Akselrod and Barkow said.
Fuchs, Schlueter and Bartschat advised on deals in the past 12 months including Deutsche Wohnen AG (DWN)’s acquisition of GSW Immobilien AG (GIB) and Lone Star Funds’s acquisition of TLG Immobilien GmbH.
Schlueter joined Credit Suisse in 2004 from Deutsche Bank AG. Janssen is the former head of equity research at UBS in Germany.
The departures come after a recent shake-up at the three banks. Nikolaus Naerger is leaving Citigroup as chief country officer in Germany and will be replaced by Stefan Wintels. UBS, Switzerland’s biggest bank, on Nov. 15 named Hermann Prelle chairman of corporate-client solutions in Germany. Credit Suisse, the second-biggest Swiss bank, earlier this year named Nicolo Salsano as head of the investment-banking department for Germany and Austria.
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