Only eight Texas firms are among the nation’s top dealmakers in 2010, according to The American Lawyer ‘s Corporate Scorecard 2011, which ranks firms on transactional work they did in 2010. That’s fewer firms than last year, when 14 Texas firms were included in Corporate Scorecard 2010 for work done in 2009.
Blame bankruptcy work. According to Corporate Scorecard 2011, three Texas firms had a piece of work on the 10 largest bankruptcy emergences in 2010, and Texas firms were not included on the chart of the firms working on the 10 largest new bankruptcy filings in 2010. That total of three firms compares to a total of 11 Texas firms doing big bankruptcy work in 2009, as reported in Corporate Scorecard 2010. [See "Bankruptcy Boom Helps Land Texas Firms on Deals Lists," In-House Texas, May 10, 2010, page 1.]
But, in other areas of corporate work, there’s consistency. The same six Texas firms are among the nation’s leading transactional firms for work in 2010 and in 2009. Those firms are Akin Gump Strauss Hauer & Feld and McCall, Parkhurst & Horton, both of Dallas, and Houston firms Andrews Kurth, Baker Botts, Fulbright & Jaworski, and Vinson & Elkins.
The Corporate Scorecard 2011 includes firms that handled the most or highest value of deals or issues in eight areas of corporate transactions in 2010: equities, mergers and acquisitions, private equity, corporate debt, municipal bonds, securitizations, project finance and real estate investment partnerships (REITs). It also lists the firms working on the 10 largest bankruptcies filed in 2010 and the 10 largest bankruptcy emergences in 2010. The corporate scorecard is available on The American Lawyer ‘s Web site.
V&E appeared on more Corporate Scorecard charts than any other BigTex firm. V&E appeared a total of 11 times on charts for various kinds of corporate work, while Baker Botts appeared the next most often with five chart appearances. [See the chart: Corporate Scorecard.]
“We are lucky to be in the energy business, because the energy business is a capital-intensive business. . . . There’s so much finance that happens in the energy world,” says V&E partner David Oelman of Houston.
Susman Godfrey, Akin Gump, and Bracewell & Giuliani are the three Texas firms included on Corporate Scorecard 2011 for 2010 bankruptcy work. Each firm was also among the 11 Texas firms on bankruptcy charts on last year’s version of the scorecard.
Texas firms make appearances on Corporate Scorecard 2011 charts in these areas: private equity, equities, municipal bonds, U.S initial public offerings (IPOs),high-yield corporate debt, and mergers and acquisitions. Texas firms were not on the charts in other areas, including non-U.S. IPOs, project finance, investment-grade corporate debt, mortgage-backed securities, asset-backed securities, REIT debt and REIT equities.
Here are some highlights from the charts.
IPOs recovered magnificently in 2010 and were very good to some large Texas firms. According to statistics compiled by Renaissance Capital LLC, 154 domestic IPOs were issued in 2010, up from only 63 in 2009, and proceeds came in at $38.7 billion in 2010, up 77 percent from the previous year.
V&E and Baker Botts are each among the handful of U.S. firms on the Corporate Scorecard’s charts of the firms doing the most and largest domestic IPOs in 2010. In fact, V&E topped the charts, tied with Latham & Watkins, for representing issuers by volume of issues and is third by value of issues. Baker Botts appeared on the charts for representing underwriters on IPOs.
The scorecard charts don’t tell the full story in Texas, however. A chart of Texas’ 10 largest IPOs in 2010 tells more. While V&E represented the issuers on the five largest Texas IPOs in 2010, other firms worked on the 10 largest IPOs in Texas in 2010, including Baker Botts, Andrews Kurth, Haynes and Boone, and Fulbright. [See the chart: Top Texas IPOs in 2010.]
MERGERS AND ACQUISITIONS
The high-profile area of mergers and acquisitions rebounded in 2010, particularly during the last six months of the year. The value of domestic M&A deals reached $722.9 billion in 2010, up 4 percent from 2009, and the 3,496 for the year represents an increase of nearly 30 percent over the previous year, according to statistics provided to The American Lawyer by mergermarket.
V&E and Baker Botts made the Corporate Roster charts for representing principals in M&A work in 2010. V&E was 17th and Baker Botts was 20th by value, and V&E was 10th by volume.
In 2010, new bond issues totaled $433.3 billion, up 5.8 percent from 2009, and the most ever in public debt issuance, The American Lawyer reports. One factor for the increase was the volume of Build America Bonds — part of President Barack Obama’s stimulus package — which totaled $117.4 billion, or 27 percent of the bonds issued in 2010.
Texas firms benefited from the surge in muni bond offerings. Four firms — Andrews Kurth, Fulbright, McCall, Parkhurst and V&E — each made the Corporate Scorecard charts for representing issuers or underwriters on bond work in 2010.
In fact, Fulbright is in first place, by volume, for representing underwriters in bond issues, with 220 issues, narrowly edging Andrews Kurth, which took second on that chart with 206 issues in 2010.