Big 4 RX vs lazard, rothschild, HL RX

Whats the difference between in Big4 restructuring and restructuring team from Lazard, Rothschild, HL & other specialized IBs?

I noticed the big4 have dedicated restructuring teams, and the job description includes items like (formal insolvency work; financial restructuring; operational restructuring; crisis cash management; impaired loan advisory services)

in addition to hours/pay/prestige difference, can anyone speak to the actual day-to-day responsibilities, skills learned, exit opportunities from an analyst/associate's point of view?

thank you so much for your help

7 Comments
 
Best Response

Since no one is responding, I'll toss in my opinion.

From what I've seen, RX comprises of three outside parties: the investment bank, the RX consultant (FTI Consulting/AlixPartners) and the Big 4 firm.

If advising debtor side (Lazard/Moelis/PJT), the bank does the valuation for the assets and facilitates the necessary sales to get the company where it wants to go. If it's for the creditor side (HLHZ), it's about helping the lenders recover the most they can from the company's assets. The consultant realigns the business plan and determines the future direction of the company. The Big 4 firm hammers out the nitty gritty details and figures out the accounting of everything so the RX can actually be implemented. I'm sure in reality there's a lot of overlap - especially between the bank and the consulting firm since you see restructurings that hire only one or the other.

Pure guesswork and depends on the exits you're looking for, but I would imagine the banking RX exits are better than the other two since you're getting really solid technical skills from all the complex modeling done for distressed assets. At least for analysts, RX pay is the same as M&A.

 

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