Greenhill To Acquire Canadian M&A Advisory Firm, Will Open Toronto Office


NEW YORK, June 20, 2006 – Greenhill & Co., Inc. (NYSE: GHL), a leading independent investment bank, announced today the acquisition of Beaufort Partners, an independent investment bank based in Toronto that was formed last year.

The principals of Beaufort, Bradley J. Crompton, and George C. Estey, were, until the formation of Beaufort, the heads of the Canadian businesses of Morgan Stanley and Goldman Sachs, respectively, where they were involved in many of the most important Canadian domestic and cross-border transactions in recent years. In their previous positions they worked closely with many of the ten other Greenhill partners who were previously Managing Directors at those two firms.

“The addition of a strong team in Canada is a very natural step for a Firm that has a major presence in the U.S., U.K. and Continental Europe. Already a majority of the Firm`s advisory professionals reside outside the U.S., demonstrating the global nature of our business. We plan to continue our strategy of extending geographic reach while we also continue to add expertise in key industries,” said Robert F. Greenhill, Chairman and Chief Executive Officer of Greenhill.

“In forming our own firm we sought to emulate Greenhill by fulfilling a need in Canada for truly independent advice on major mergers, acquisitions and restructurings. By combining with Greenhill, we can fulfill that role of trusted advisor even better,” said Brad Crompton.

“Canada has more than 200 companies with a $1 billion or greater market capitalization. Greenhill`s industry expertise, U.S. and European cross-border capabilities and restructuring expertise will all help us serve our clients better when they need advice,” said George Estey.

The consideration for the acquisition of the Canadian entity is primarily stock of a new Greenhill subsidiary exchangeable for Greenhill common stock, with similar transfer and other restrictions to those agreed by Greenhill Managing Directors at the time of its initial public offering in 2004.

“As with most of our important senior recruits, the cost of the acquisition is not material to our shareholders, but the potential benefit to our franchise and future financial results is quite meaningful,” said Scott L. Bok and Simon A. Borrows, Co-Presidents of Greenhill. Including Crompton and Estey, Greenhill has recruited seven new Managing Directors in its advisory business in the year to date, more than in any prior full year.

Mr. Crompton, age 50, has 23 years of investment banking experience focused on the Canadian market, including 10 years at Morgan Stanley and prior to that 9 years at Goldman Sachs. In his last position at Morgan Stanley, Mr. Crompton was President of Morgan Stanley Canada. He received a BA from Wilfred Laurier University and an MBA from York University.

Mr. Estey, age 49, has 19 years of investment banking experience, most of which have been focused on the Canadian market. Mr. Estey spent 18 years at Goldman Sachs, where he rose to Chairman and CEO of Goldman Sachs Canada. He received a BS in Mechanical Engineering from the University of New Brunswick and an MBA from Harvard Business School.

In addition to Crompton and Estey, Beaufort has three other professionals who will also join Greenhill at the time the transaction is completed, which is expected to be early July. The two firms have already begun to cooperate on various client opportunities.

Greenhill & Co., Inc. is a leading independent investment bank that provides financial advice on significant mergers, acquisitions and restructurings and manages merchant banking funds. It acts for clients located throughout the world from its offices in New York, London, Frankfurt, Toronto and Dallas.