Goldman Banker Makes Exit as Hiring in Moscow Picks Up

Wall Street Journal Europe

May 22, 2009

JASON CORCORAN

MOSCOW -- Goldman Sachs Group Inc.'s head of mergers and acquisitions for oil and gas in Russia has become the second senior executive this month to quit the bank's Moscow business, as resurgent rivals in the country start rehiring.

William Donovan is leaving Goldman Sachs to join Deutsche Bank AG in Russia for a similar role. Mr. Donovan joined Goldman Sachs in 2007 having spent more than seven years at U.S. brokerage AG Edwards, which is part of the Wells Fargo banking group.

Goldman trimmed its headcount in Russia by 10% last year after the financial crisis spread.

A spokesman for Deutsche Bank in Russia confirmed Mr. Donovan had joined recently to take up a similar position covering the energy sector. Deutsche Bank said it was "hiring selectively" and had never put a freeze in place unlike many other banks in Moscow.

However, investment-banking hiring has picked up in Moscow with Russia's VTB Capital, part of VTB Group, leading the way. Morgan Stanley, Nomura, Barclays PLC's investment-banking arm Barclays Capital and Troika Dialog are actively hiring or trying to fill selected positions, according to local headhunters who have been tapped for executive searches.

A Goldman Sachs spokeswoman in London couldn't be reached for comment.