McGladrey Capital Markets climbs league tables amid year of milestones

Costa Mesa, Calif. – January 26, 2009 – McGladrey Capital Markets LLC continues to climb FactSet Mergerstat’s national rankings of M&A advisors. In 2008, the firm jumped five spots to rank No. 14 for overall deal volume and climbed to No. 2 for deals under $250 million. Furthermore, the firm’s Consumer Products, Chemicals, and Plastics & Advanced Materials teams each earned the No. 1 rank for deals under $250 million, while the Food & Beverage and Basic Industries teams took the No. 2 spot.

For 2007, the firm was ranked No. 19 overall and No. 3 for deals below $100 million. McGladrey Capital Markets first appeared in the national rankings in 2005 and has been ranked in the top 20 every year since then.

Amid a market in retreat, McGladrey Capital Markets held steady with 45 deals closed in 2008 (versus 47 in 2007) and $1.51 billion in deal liquidity created (versus $1.66 billion in 2007). In contrast, aggregate deal volume in the United States declined 30.4 percent year-over-year, according to FactSet Mergerstat. Investment bankers at McGladrey Capital Markets concluded five middle-market M&A deals within December alone, despite the frigid financial climate. Particularly strong sectors for the firm were Aerospace & Defense with five transactions closed and Food & Beverage with six transactions closed.

“Our success reflects the expertise, experience and commitment of our professionals,” says Hector J. Cuellar, president of McGladrey Capital Markets. “As the market was struggling, our teams creatively brought value to their clients. To continue closing deals and rising up the rankings amid the challenges of 2008 is a significant accomplishment.”

The year brought other advances as well:

• The firm continued its international growth, closing its first intra-European transactions, increasing cross-border deals 27 percent (representing one third of the firm’s deals in 2008), and working with clients across the globe—including Japan, Sweden, Switzerland and the United Kingdom. Events like the firm’s International M&A Symposium, held in October in London, continue to bring international buyers to North American sell-side clients.
  
  
• The firm launched deal teams with experience in the consumer products industry and the media, entertainment and gaming industry. In addition, the newly renamed plastics and advanced materials practice emphasizes the firm’s commitment to composites and other advanced materials.
  
  
• The firm launched a restructuring practice. The firm’s restructuring experts advise companies with underperforming assets and those experiencing financial distress, working with both debtors and creditors to develop tailored solutions suitable for virtually any financial or operating situation.
  
  
• The firm’s name change, from RSM EquiCo Capital Markets to McGladrey Capital Markets, reflected tighter integration with leading professional services firm RSM McGladrey. It was a significant milestone in a transformation process that began when Hector J. Cuellar assumed leadership of the firm in 2004.
  
  
• The firm’s private equity group clients increased fourfold and its total buy-side advisory engagements nearly doubled.

About McGladrey Capital Markets

McGladrey Capital Markets LLC (www.mcgladreycm.com) is a global provider of investment banking services to private and public companies with annual revenues of up to $1 billion. The firm’s services include mergers, acquisitions, divestitures, recapitalizations, capital raising, fairness opinions and restructurings. McGladrey Capital Markets, which offers in-depth expertise in 13 distinct industry sectors, brings together companies, capital and creativity on a national and international scale to help clients achieve their personal and strategic objectives.

McGladrey Capital Markets is affiliated with RSM McGladrey Inc., a professional services firm providing accounting, tax and business consulting. Both firms are indirect subsidiaries of H&R Block Inc. (NYSE: HRB), the world’s preeminent tax services provider. McGladrey Capital Markets is also a member of RSM International, a worldwide network of professional services firms.

McGladrey Capital Markets’ international headquarters are located in Costa Mesa, Calif. It also has offices in Chicago, Boston, Dallas, New York and London. The firm is a member of FINRA and SIPC.