A 9-person boutique is in line for a massive payday on what could be the biggest M&A deal of the year
The Mayfair boutique, run by senior trio Simon Robey, Philip Apostolides and Simon Warshaw, is advising SABMiller on its proposed tie up with Anheuser Busch InBev to create the biggest beer company in the world.
Fees could be as high as $120 million (£78 million) for firms advising SAB Miller, while AB InBev's advisors could be in line for a $115 million (£74 million) payday, based on a deal worth around $100 billion (£65 billion), according to Freeman & Co, a consultancy firm.
JP Morgan and Morgan Stanley are also acting for SABMiller.
"Debt financing fees could be a lot higher, but it's tough to speculate on the size of financing fees without knowing the size and form of the financing package," Freeman's Jeffrey Nassof said in an email.
Robey Warshaw has no set billing structure, according to a person familiar with the firm, and can tailor its working arrangements to the needs of the client and demands of the deal.
The boutique earned £23.9 million ($37 million) in the 18 months to March 31 2015, according to accounts filed this year. The partners didn't draw a salary but accounts show the "a profit of £9,414,881 is provisionally attributable" to the highest earning member of the firm.
Robey Warshaw may only be in its third year but its close ties with the top FTSE 100 companies has seen it win mandates on major deals. AstraZeneca brought in Robey Warshaw on its aborted deal with Pfizer last year, while the firm is also acting for BG Group on its offer from Royal Dutch Shell.
Shares in brewing giant SABMiller surged upwards on Wednesday after the company confirmed that rival drinks giant Anheuser Busch InBev is planning to buy the company.
Shares are up around 20% on the news.
AB InBev has about a 21% share of the global beer market, while SABMiller has just under 10%, so a tie-up between the two would create a company that could control almost a third of the world's beer.
SABMiller is the world's second largest brewer by revenue and makes beers like Fosters, Peroni, Miller, and Grolsch. Earlier this year it bought London craft brewery Meantime.
AB InBev, meanwhile, is the world's biggest brewery by revenue. It makes Budweiser, Corona, Stella Artois, and Becks, among many others.