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Ranking the rainmakers in H1'16

Twosizable metro Chicago deals announced late in the second quarter helped cementSandler O'Neill & PartnersLP investment bankers atop the lead banker rankings for the firsthalf of 2016.

Big dealsremained few and far between during the first six months of the year, with justthree deals over $500 million in value surfacing in the period. That is downsignificantly from the prior six month period, when five transactions exceeding$500 million in deal value were announced, according to SNL data.

Fewersizable deals surfaced during the first half of 2016 as bank stocks have comeunder pressure amid global macro uncertainty, volatile oil prices and a growingbelief that interest rate hikes have been kicked further out on the horizon.The SNL U.S. Bank and Thrift Index dropped 10.42% in the first half of 2016,while S&P 500 rose 2.69% during the period.

Theselloff in the group caused bank stock multiples to contract, pushing theprice-to-tangible book value of the SNL Bank & Thrift Index to 147% at June30. That is down considerably from the beginning of the year, when the SNL Bank& Thrift Index stood at 160% of tangible book value, and well below thelevels seen a year ago, when the index was valued at 177% of tangible bookvalue. With the decline in multiples, publicly-traded buyers haveweaker currencies, which could limit their ability to pursue some acquisitions.

Giventhe decline in larger bank M&A, investment bankers advising on the few transactionswith higher deal values landed at the top of SNL's lead banker rankings for thefirst half of 2016. Two larger deals came in metro Chicago, including thelargest transaction during the period, with Chicago-based 's agreeing tosell toCanadian Imperial Bank ofCommerce for $3.8 billion.

andCIBC World MarketsInc. advised the buyer on the transaction, while as the exclusivesell-side adviser to PrivateBancorp, and Sandler O'Neill provided a fairnessopinion to the seller's board of directors. Sandler's Jimmy DunneIII, Bill Burgess and Benjamin Schmitt served as lead bankers on the deal.

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Goldmanhad served as book manager on a PrivateBancorp common stock offering in the fall of 2012,but Sandler wasn't listed as an adviser on any of the company's capital raisesor acquisitions since the crisis, according to SNL data.

Sandler'sBurgess and Schmitt served as lead bankers on another sizable deal in metroChicago, advising Itasca, Ill.-based First Midwest Bancorp Inc. on its $365 millionpurchase ofStandard BancsharesInc. J.P. Morgan advised the seller on the transaction.

Thatdeal was announced within hours of the PrivateBancorp transaction. Sandler hasadvised First Midwest on six of its last seven acquisitions in the bank space.Burgess and Schmitt have served as the lead bankers on the last fourengagements where Sandler advised First Midwest.  

Burgess,working with fellow Sandler i-banker's Robert Albertson, Eric Ferdinand, andDunne landed the second-largest deal announced this year, advising on its $3.4billion sale toHuntington BancsharesInc. Sandler's Burgess had previously advised FirstMerit on itsFDIC-assisted purchases of George Washington Savings Bank and in 2010.

Goldmanadvised Huntington on the deal after having served as book manager on severalof the company capital raises, including three common stock offerings betweenJune 2009 and December 2010.

TheMidwest produced another noteworthy deal in the first half of the year, withMichigan-based banks ChemicalFinancial Corp. and Talmer Bancorp Inc. agreeing to a $1.09 billionmerger.

,a unit of Stifel FinancialCorp., advised Talmer on its merger with Chemical, with JamesHarasimowicz, Thomas Michaud, Robert Stapleton and Frank Sorrentino serving aslead bankers on the transaction. KBW has considerable history with Talmer,having advised on its purchase of four subsidiary banks of Capitol BancorpLtd. and several capital raises. KBW served as book manager on the company'sIPO, and alsoserved as the book manager on offering of Talmer shares that allowed WL Ross todivest its stake inthe company.

Sandleradvised Chemical on the transaction, with Mark Biche, Schmitt and JeffreyGwizdala serving as lead bankers on the deal. KBW had advised Chemical on itslast three whole bank transactions, and served as book manager on the company'scommon equity offerings in 2014 and 2013. Sandler served as co-manager on those two offerings.