• Working model to serve the client • Integrated operating model • Lines of businesses • Activities in global commercial banking • Investment banking activities • Details of advisory services in recent Deal in M&A, IPO issue

1. Bank of America
Merrill Lynch
Project on Investment Banking
Submitted by Pankaj Gaurav,
IMT Hyderabad

2. Introduction
Bank of America is one of the world's largest financial institutions, serving individual consumers, smalland middle-market businesses and large corporations with a full range of banking, investing, asset
management and other financial and risk management products and services.
The company provides unmatched convenience in the United States, serving approximately 50 million
consumer and small business relationships with approximately 5,100 retail banking offices and
approximately 16,300 ATMs and award-winning online banking with 30 million active users and more than
14 million mobile users.
Bank of America is among the world's leading wealth management companies and is a global leader in
corporate and investment banking and trading across a broad range of asset classes, serving
corporations, governments, institutions and individuals around the world. The company serves clients
through operations in more than 40 countries

3. Executive Team
•
Brian Moynihan | Chief Executive Officer
•
Catherine P. Bessant | Global Technology and Operations Executive
•
David C. Darnell | Co-Chief Operating Officer
•
Anne M. Finucane | Global Strategy and Marketing Officer
•
Gary Lynch, Global General Counsel, Head of Compliance & Regulatory
Relations
•
Gary G. Lynch | Global General Counsel, Head of Compliance & Regulatory
Relations
•
•
Bruce Thompson, Chief Financial Officer
Bruce R. Thompson | Chief Financial Officer

4. A Brief History
The Bank of Italy was founded in San
Francisco by Amadeo Giannini in 1904
March 7, 1927, Giannini consolidated his
Bank of Italy (101 branches) with the then
newly formed Liberty Bank of America (175
branches).
In 1928, A. P. Giannini merged with Bank of
America Los Angeles to create what will
become the largest banking institution in the
country. The merger was completed in early
1929 and took the name Bank of America.

5. Merger History

6. Merger History (Cont.)
1998-
1960 –
North
Carolina
National
Bank (
NCNB)
1993MNC
Financial
acquired
by
NationsB
ank
1988First
republic
bank
acquired
by NCNB
1986Bankers
Trust
acquired
by NCNB
BankAme
rica Corp
acquired
by
NationsBa
nk , took
New
name
Bank of
America
1991- C &
S/Sovran
of
Atlanta
and
Northfloc
k
, Nations
Bank
came into
existence
1997Barnett
Bank &
Boatsmen
’s Bank
acquired
by
NationsB
ank
2006MBNA
acquired
by Bank
of
America
2004 –
FleetBost
on
acquired
by Bank
of
America
2009 –
Merril
Lynch
acquired
by Bank
of
America
2007LaSalle
Bank
acquired
by Bank
of
America
2007 – U
S Trust
acquired
by Bank
of
America
2008 –
Country
wide
Financial
acquired
by Bank
of
America

7. Working Model to serve

8. Integrated Operating Model
•
Establishing role as Financial Advisor through Integrated Operating Model

9. Rankings And Global Presence

10. M&A Advisor Ranking
Source: Wall Street journal

11. Global Banking & Market Highlights

12. Lines of Businesses & Latest Highlights

13. Global Commercial Banking
Credit & Finance
Working Capital
Solution
Risk
Management
• Working Capital
Financing
• Real Estate
Financing
• Equipment
Financing
• Asset Based
Lending
• Capital
structure
Financing
• Syndicated
finance
• Bridge/Interim
Financing
• Trade financing
• CashPro Online
• Card Solutions
• Revenue cycle
management
• Customised
Payments
• Disbursement
management
• Liquidity
Management
• Group Banking
• Merchant
Services
• Investment
Management
Services
• Interest Rate
Management
• Foreign
exchange
capabilities
• International
trade services
• Derivatives
products
Capital raising &
Advisory
Services
• Equity Capital
• Debt capital
• Tax exempt
financing
• Load
syndication
• M&A Advisory
Wealth &
Investment
Management
• Meeting the
complex
financial needs
of corporate
executives
• Wealth
management
strategies for
business
owners

14. Investment Banking
Corporate
Financing
Debt Capital
Markets
Equity
Capital
Markets
Mergers and
Acquisitions
Advisory

15. 2013 deals highlight

16. Details of a few Deals

17. Zoetis Initial Public Offering:
Zoetis, formerly the animal health business unit of Pfizer Inc., today announced the
pricing of its initial public offering of 86,100,000 shares of its Class A common stock at
$26 per share.
The underwriters also have an option to purchase up to an additional 12,915,000 shares
of Class A common stock. Zoetis will not receive any of the proceeds from any shares
sold pursuant to this option. If the underwriters exercise this option in full, Pfizer is
expected to retain an approximately 80 percent ownership of Zoetis.
J.P. Morgan, BofA Merrill Lynch and Morgan Stanley served as joint lead book-running
managers for the offering

18. Acquisition of Actavis Group By
Watson Pharmaceuticals
Watson Pharmaceuticals, Inc. is a leading
integrated global pharmaceutical
company. Watson is engaged in the
development, manufacture and
distribution of generic pharmaceuticals
and specialized branded pharmaceutical
products focused on Urology and
Women's Health.
In 2011, Watson was the third largest
generic pharmaceutical company in the
United States. It also have commercial
operations in key international markets
includes Central and Eastern
Europe, Russia, UK, France, Australia etc.
Actavis is one of the world's
leading generic pharmaceutical
companies, specializing in the
development, manufacture and
sale of generic pharmaceuticals.
The company has operations in
more than 40 countries, with
over 10,000 employees.

19. Acquisition of Actavis Group By
Watson Pharmaceuticals (cont.)
Transaction Terms
Watson intends to fund the
Actavis stakeholders could also
cash portion of the transaction
receive additional
consideration, depending upon the through a combination of term
Under the terms of the
loan borrowings and the
Actavis achieving negotiated levels
agreement, Watson will acquire
of certain 2012 performance targets. issuance of senior unsecured
Actavis for an upfront payment The target if achieved would result
notes. Watson currently has
of EUR4.25 billion
in the delivery of up to 5.5 million bridge loan commitments from
shares of Watson common stock in BofA Merrill Lynch and Wells
2013
Fargo Bank

20. Acquisition of Actavis Group By
Watson Pharmaceuticals (cont.)
Key Benefits of Transaction
Dramatically Enhances Watson's
International Presence
Expanded Global Market Presence
Expanded Portfolio and Pipeline
Significant and Immediate Accretion
Strong Combined Cash Flow Allows for
Rapid Debt Repayment
Additional Benefits of International and
global management team

21. Verizon Vodafone deal

22. Verizon Vodafone deal (cont.)
Rationale
Verizon agreed on Monday to pay $130 billion to buy Vodafone out
of its U.S. wireless business, signing history's third largest
corporate deal to bring an end to a decade‐long corporate stand‐off
The deal will give Verizon full access to the wireless unit's
cash, handing it fresh firepower to invest in superfast mobile
networks and fend off challengers in a U.S. market expected to
grow more competitive in the coming years

23. Verizon Vodafone deal (cont.)
Deal Points
The two firms said Vodafone would get $58.9 billion in
cash, $60.2 billion in Verizon stock, and an additional
$11 billion from smaller transactions that would take the
total deal value to $130 billion
The British group will return 71 percent of the net
proceeds to shareholders. All the stock will go to
shareholders, plus $23.9 billion in cash, after the deal is
finalized, likely to be in the first quarter of 2014

24. Loblaw buys Shoppers Drug Mart

25. Loblaw buys Shoppers Drug Mart (cont.)
Rationale

26. Loblaw buys Shoppers Drug Mart (cont.)
Deal Points

27. Master Blenders 3.3 billion acquisition
€3.3B Senior Credit
Facility
2nd Largest leveraged
buy out (LBO) in Europe
since the credit crisis
Largest new money term
loan financing in Europe
since the credit crisis

28. Master Blenders 3.3 billion acquisition
German investor Joh A Benckiser's (JAB) 7.5 billion euro ($9.74 billion) bid for Dutch
coffee and tea company DE Master Blenders
The banks were looking to raise 1 billion euros from funds -- 60/40 in euros and
dollars, respectively -- which will supplement funds raised from around 15 banks that
were invited in the first phase of syndication.
The fully underwritten all-senior loan is being arranged by Bank of
America, Citibank, Rabobank and Morgan Stanley.
Funds were to be offered a commitment fee to compensate them for their commitments
until the acquisition closes and funds are drawn, which was expected in July.

29. Master Blenders 3.3 billion acquisition:
Deal details
The deal is structured as a 1.25 billion euro, three-year term loan A at 350 bps
over EURIBOR, a 1.75 billion euro, five-year term loan B at 375 bps and a 300
million euro, five-year revolving credit facility, 350 bps.
15 banks were asked to commit 200 million euros each for a fee of 150bps in the
first phase of syndication. Lenders would prefer to be scaled back to around
150 million-160 million euros of exposure, given the company's credit rating.
Master Blenders was currently rated BBB/Baa2, but would be expected to have
a BB- credit rating after the acquisition, bankers said.

30. Awards & Accolades

32. References
Reports
•
BTM Presentation Bank of America 2013
•
Goldman Sachs Financial Services Conference Report 2013
•
Bank of Americs- Merril Lynch Global commercial banking Report 2013
•
Bank of America 4Q13 Financial Results
•
Mergermarket H1 2013 M&A Report: July 2013
Webpages
•
Master Blenders 3.3 billion acquisition loan launched to funds “http://www.reuters.com/article/2013/05/14/usmaster-blenders-loan-idUSBRE94D0O920130514 “(accessed on 20 Jan 2014)
•
Bank of America Awards and Recognition, “http://newsroom.bankofamerica.com/awards?cm_re=EBZCorp_SocialResponsibility-_-About_Us-_-EI38LT0008_About_Us_Awards “ (accessed on 20 Jan 2014)
•
Merger History, Bank of America, “http://message.bankofamerica.com/heritage/#/merger-history” (accessed on 20
Jan 2014)
•
Deal of the week, “http://pillarsofwallstreet.com/resources/deal-of-the-week” (accessed on 20 Jan 2014)

33. Thank You