- Restructuring is a meaningful business for PJT and the credit environment in 2021 has not helped it.
- M&A is going strong, but restructuring is enough of a large franchise that overall advisory revenues are suffering.
- Many announced transactions at least means that the restructuring declines will be substantially offset for the full year in Q4.
- Moreover, the inflationary environment could push up rates and become a reason for restructuring to recover, hopefully not too much at the expense of the M&A business.
- With placement being relatively resilient to many market environments, and the restructuring franchise being relevant, PJT could recover.
For further details see:
PJT Partners Struggles With Tough Comps But Has Offsets If M&A Peaks