Prime Goldman dealmaker Lemkau leaves the financial institution to run a $ 15 billion funding agency tied with Dell's fortune
Gregg Lemkau, Co-Head of Investment Banking at Goldman Sachs & Co.
Christopher Goodney | Bloomberg | Getty Images
Goldman Sachs loses one of its top dealmakers.
Gregg Lemkau, a nearly three-decade-old veteran of the bank and co-head of the investment banking powerhouse business, is leaving Goldman later this year. This emerges from an internal memo that CEO David Solomon sent out on Monday. In February Lemkau changes as CEO to MSD Partners, an investment company that is connected to Michael Dell's family office. This emerges from a separate press release.
Known as one of Wall Street's top merger bankers, Lemkau has advised on hundreds of transactions since joining the bank in 1992. He first discussed this move with Solomon in the middle of the year, and Solomon tried to persuade Lemkau to stay knowledgeable about the discussions. Goldman Sachs is the world's leading merger, according to Dealogic, with sales of $ 758.6 billion.
Another Goldman veteran, Jim Esposito, is replacing Lemkau as co-head of the investment banking division, Solomon said in a separate memo. Most recently, Esposito served as global co-head of trading for the bank, and has spent most of his 25-year career at Goldman in senior investment banking roles.
"Please thank Gregg for his many contributions to the company, our customers and our employees, and wish him and his family all the best for the years to come," said Solomon in the memo. The Wall Street Journal first reported his departure.
MSD Partners manages money for both the Dell Family Office and outside investors, and manages more than $ 15 billion in assets. Lemkau will focus on growing the company's existing investments in real estate, private and public stocks and credit, and expanding into new areas, the company said. He will work with John Phelan, MSD co-founder and chief investment officer.
"I've known Gregg for a number of years and I think he fits in well with the culture MSD has built over two decades," Michael Dell said in the press release.
Here is Solomon's full memo:
Gregg Lemkau withdraws from Goldman Sachs
Gregg Lemkau, Co-Head of the Investment Banking Division (IBD) and member of the Management Committee, will leave the company at the end of the year.
As co-head of IBD, Gregg led our efforts to further consolidate and expand our world-leading investment banking franchise. During his more than 28 years with the company, he has advised hundreds of transactions and spent considerable time advising our clients in all sectors worldwide while working in our offices in the US and Europe. The company has benefited greatly from Gregg's deep and extensive understanding of the industries and markets, as well as his strong approach to customer service.
Gregg was also instrumental in our commitment to sustainable inclusive economic growth and helped design and implement our Board Diversity Initiative. He worked closely with our customers to improve their diversity representation prior to going public, and through this critical work he underscored our company's belief in the importance of having different voices at the table, both in business and in society are.
Additionally, during his nearly three decades with Goldman Sachs, Gregg was a steward of the company's teamwork and excellence culture and a key talent developer and mentor to so many of our current and future leaders. He has also sponsored a number of important employee support programs, including events organized by the Goldman Sachs Veterans Network and our Veterans Integration Program.
Gregg has performed excellently since joining us in 1992 as an analyst with Mergers & Acquisitions. Prior to his current role as co-head of IBD, Gregg was co-head of Global Mergers & Acquisitions. He was also global co-head of the Technology, Media and Telecom Group, global co-head of the Healthcare Group, and chief operating officer of the Investment Banking Division. Gregg is a member of the IBD Executive Committee and previously chaired the Firmwide Commitments Committee and was a member of the Partnership Committee from 2011 to 2015. He was appointed managing director in 2001 and partner in 2002.
Please thank Gregg for his numerous contributions to the company, our customers and our employees and wish him and his family all the best for the years to come.
David M. Solomon
This article has been updated to make it clear that Lemkau is joining an investment firm affiliated with the Dell Family Office.
With reports from Wilfred Frost of CNBC