Energy IB - Layoffs at Jefferies, TPH, and Simmons?

Prospect in IB-M&A

Hi monkeys,

I'm an incoming SA at a BB in their energy (Houston) group and I recently read an article about Jefferies firing 15 junior bankers and also heard today that Simmons fired some analysts as well (heard something about TPH also) and I'm curious to hear what people have to say about the future outlook of energy IB for BBs and EBs.

Thanks in advance.

Comments (9)

Oct 8, 2019

I heard from someone in the industry that Jefferies laid off a handful of Associates, so I can corroborate that rumor.

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Oct 9, 2019

The article just said "15 people". Where did you get the "junior banker" part from?

Layoffs usually do not start at the junior analyst level, but rather along the lines of VPs and even underperforming MDs. I'd say unless Jefferies pulls a DB'18 (unlikely) you're probably fine.

Actually from what I recall, isn't Jefferies suing Cantor for poaching too many of its Energy bankers lol

Array

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Oct 9, 2019

The cantor situation is for the power group in NY, not oil and gas.

A handful of Associates in the E&P group were canned, plus some junior A&D folks.

Other banks are not far behind, capital markets issuances are at a 10 year low and down 90% year over year in verticals like midstream. So those levered to equity and high yield issuances are exposed

Oct 9, 2019

Is this reflective of IB as a whole or more for Energy/O&G given the state of the industry? Article seems unclear

Oct 12, 2019

I work as a consultant in energy & infrastructure. Haven't heard of anything that's as big as an industry problem.

Oct 9, 2019

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Most Helpful
Oct 10, 2019

Simmons did not lay off any analysts. One associate and the rest more senior. Pls fix. Thx.

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Oct 10, 2019

Heard the same, don't know why ppl have assumed it's all analysts.

Oct 17, 2019
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