As a major financial and technology hub, San Francisco has fostered some of the most active middle market investment banks over the years. In 2020, despite the challenges brought by the pandemic, these banks continued to facilitate numerous M&A and private financing deals, providing critical growth capital and advisory services to mid-sized companies across sectors. This article analyzes the top players in San Francisco’s middle market investment banking scene and their thriving deal activities throughout 2020.
Leading middle market investment banks enabled business combinations and fundraising
Leveraging their extensive network and expertise, top San Francisco-based middle market investment banks like Barclays, Raymond James and Piper Sandler were involved either as financial advisors or capital providers in various M&A and capital raising transactions in 2020. For instance, Barclays and Piper Sandler advised on the merger of two software companies AppFolio and MyCase, while Raymond James helped facilitate several deals in healthcare and technology. Overall, these active investment banks played a key role in bringing together buyers and sellers as well as companies and investors.
Boutique banks provided domain expertise for sector-focused deals
In addition to the global full-service banks, sector-focused boutique investment banks also thrived by offering specialized domain knowledge. Banks like Union Square Advisors, VO2 Partners and Savant Capital Partners have carved a niche in advising tech or healthcare companies on M&A and capital raising activities. Their expertise in a particular sector allows them to better serve the unique needs of clients in that industry vertical.
eyeing expanding activity levels post-pandemic
Despite the temporary decline in 2020, middle market investment banking activities have picked up momentum in San Francisco starting 2021 as economic recovery took shape. With companies increasingly looking for growth opportunities and external funding sources, industry analysts project rising M&A and financing deal volumes involving mid-sized companies across different sectors in the coming years. Hence the bay area’s top-tier investment banks remain bullish on benefiting further from the expanding middle market activities going forward.
In 2020, leading middle market investment banks like Barclays and Raymond James as well as sector-focused boutique banks actively facilitated M&A and capital raising deals in San Francisco amid the challenging business climate. While pandemic-induced declines hit activities temporarily, these banks have resumed their critical role in enabling growth-driving transactions and financing for mid-sized corporates eyeing resilient opportunities post-crisis.