Barrenjoey’s $1.1 Billion Sale Shows Appeal of M&A Boutiques (1)

As global dealmaking picks up, financial advisory firms are getting in on the action and sparking consolidation among themselves.

In the latest case, Magellan Financial Group Ltd. agreed to buy Australian boutique Barrenjoey Capital Partners for about A$1.6 billion ($1.1 billion), a windfall for the ex-UBS Group AG bankers who set up the firm in 2020.

“Boutiques have had a good run and many are now looking at M&A to accelerate growth,” said Matthew Phillips, China financial services industry leader at PwC. The consolidation is “driven by the need for scale and the desire to combine complementary sector expertise ...