Capital market "cold winter" continues Nomura reorganizes its Asian investment banking team and lays off employees
Nomura Holdings is restructuring its Asian investment banking team and cutting jobs to reduce costs. Senior positions will see personnel changes, including the departure of Patrick Kwan, head of investment banking, to be succeeded by Jwalant Nanavati. The changes are set to take effect on July 17th. Nomura achieved annual profit growth for the first time last year, but institutional business costs remain high, prompting the company to seek growth in other areas
According to the information from the iFeng Finance app, Nomura Holdings (NMR.US) is restructuring its Asian investment banking team and cutting staff in an effort to reduce costs amid a sluggish trading environment.
An internal memo shows that Patrick Kwan, head of Nomura's Asian (excluding Japan) investment banking business, will leave his position after more than two years. He will be succeeded by Jwalant Nanavati, who will continue to serve as head of Southeast Asia business.
Sources familiar with the matter said that this management change coincides with a new round of layoffs at the bank this week, involving about 10 bankers. Departing employees include Johnson Chui, head of Asian (excluding Japan) equity capital markets, and Marcella Chan, head of AEJ corporate finance.
Over the past two years, as Asia's long-term growth engine has stalled, global banks and investment institutions including Morgan Stanley, Goldman Sachs, and JP Morgan have conducted rounds of layoffs in Asia.
In addition, Andrew Macgonigal will co-lead Nomura's Asian investment banking business with Akihiro Koseki. The memo indicates that Macgonigal will continue to serve as CEO and head of investment banking in Australia.
The personnel changes will take effect on July 17th.
It is understood that Nomura announced in May this year a plan to double its profits by 2030, part of which involves key institutional business units financing their own operations. Since Kentaro Okuda took over as CEO in 2020, the Japanese brokerage firm achieved annual profit growth for the first time last year.
The costs of institutional business remain high, prompting Nomura to seek growth in other areas such as trust banking and investment management
