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News Releases


RBC to acquire Richardson Barr & Co.

NEW YORK and HOUSTON, June 2, 2008 — RBC today announced it has signed an agreement to acquire Richardson Barr & Co., a leading Houston-based energy advisory firm specializing in acquisitions and divestitures (A&D) in the exploration and production (E&P) sector. Completion of the transaction remains subject to regulatory approvals and is expected to close by third fiscal quarter 2008. Terms of the transaction were not disclosed.

A&D firms such as Richardson Barr specialize in assisting public and private companies in the divestiture of their oil and gas properties. The proposed transaction will give Richardson Barr the ability to provide its private company clients a complete range of financing and M&A support, as well as ready access to RBC's strong public company relationships, solid financial resources, and expanded product capabilities in equity, high yield, loan syndications, private placement, and convertibles.

"We are extremely excited about joining forces with RBC Capital Markets," said Scott Richardson, co-founding principal of Richardson Barr & Co. "This transaction will allow us to provide a much broader range of services to our clients, backed by the financial strength and stability of RBC. Aligning ourselves with such a well-respected firm also allows us to maintain our reputation for integrity, excellence and quality execution."

The acquisition bolsters RBC's presence in the U.S. investment banking market and provides added value to clients in the E&P sector through the combination of RBC's capital markets capabilities and public company relationships, and Richardson Barr's private company relationships, advisory services, additional specialized market intelligence and valuation capability, robust transaction pipeline, and proprietary ideas and insights in the A&D sector.

"Richardson Barr brings to RBC Capital Markets a strong industry reputation, experienced engineers, geologists and finance professionals, a dedicated focus on acquisitions and divestitures in the exploration and production sector and a terrific cultural fit," said Peter de Vos, RBC Capital Markets' Head of Investment Banking. "Among other benefits, this partnership also brings new M&A opportunities to our public market clients by providing them with private company asset transaction capabilities."

As part of its mandate, the new entity, to be known as RBC Richardson Barr, will provide A&D support to RBC's North American energy group in both the U.S. and Canada over time.

The transaction is the latest in a series of deals completed by RBC as it continues to build its presence in the United States and globally. RBC has announced 10 acquisitions in the U.S. in the past two years, including recent acquisitions by RBC Capital Markets of Daniels & Associates, the nation's most active M&A advisor to the cable, telecom, broadcast and Internet services industries; Carlin Financial Group, a broker-dealer known for its proprietary trade execution platform; and Seasongood & Mayer, the number one ranked public finance firm in Ohio.

About Richardson Barr & Co.
Co-founded in 2003 by principals Scott Richardson and Steve Barr, Houston-based Richardson Barr & Co. provides comprehensive A&D services to the U.S. market. Its advisory services include private oil and gas company sales, oil and gas asset divestitures and fairness opinions/valuations. Richardson Barr & Co. focuses on corporate and asset transactions with private and private equity companies in the U.S.

About RBC Capital Markets
RBC Capital Markets is the corporate and investment banking arm of RBC and is active globally in debt origination, sales and trading, foreign exchange, infrastructure finance, structured products, metals and mining, and energy. Its North American platform includes a significant U.S. middle market investment banking franchise and leading equity, underwriting, sales, trading and research businesses. Bloomberg ranks the firm as the 12th largest investment bank globally.

RBC Capital Markets' Global Energy Group provides advice and raises capital for the energy and utilities sectors around the world, including exploration & production, oil field services, pipelines, master limited partnerships (MLPs), and refining and marketing. The firm provides award winning energy research that covers more than 200 energy companies around the world. RBC is one of the most experienced banks in the world in oils sands financing and is a Nomad on the Alternative Investment Market (AIM).

About RBC
Royal Bank of Canada (RY on TSX and NYSE) and its subsidiaries operate under the master brand name of RBC. We are Canada's largest bank as measured by assets and market capitalization, and one of North America's leading diversified financial services companies. We provide personal and commercial banking, wealth management services, insurance, corporate and investment banking, and transaction processing services on a global basis. We employ approximately 70,000 full- and part-time employees who serve more than 15 million personal, business, public sector and institutional clients through offices in Canada, the U.S. and 36 other countries. For more information, please visit rbc.com.

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For more information, please contact:

Kevin Foster,
RBC, 212-428-6902, kevin.foster@rbc.com

Loretta Healy,
The Hubbell Group 781-878-8882, lhealy@hubbellgroup.com

Beja Rodeck, RBC, 416-974-5506, beja.rodeck@rbc.com

Investor Relations
Marcia Moffat,
RBC, 416-955-7803, marcia.moffat@rbc.com

Amy Cairncross,
RBC, 416-955-7809, amy.cairncross@rbc.com

For general investor relations information please visit: www.rbc.com/investorrelations.

Certain statements contained in this press release may be deemed to be forward-looking statements under certain securities laws, including the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995 and in any applicable Canadian securities legislation. These forward-looking statements include, but are not limited to statements with respect to the acquisition of Richardson Barr by RBC Capital Markets. Forward-looking statements are typically identified by words such as "believe", "expect", "forecast", "anticipate", "intend", "estimate", "plan" and "project" and similar expressions of future or conditional verbs such as "will", "may", "should", "could", or "would".

Caution Regarding Forward-Looking Statements

By their very nature, forward-looking statements require us to make assumptions and are subject to inherent risks and uncertainties, which give rise to the possibility that our predictions, forecasts, projections, expectations and other forward-looking information, including statements about the acquisition of Richardson Barr & Co. by RBC Capital Markets will not be achieved. We caution readers not to place undue reliance on these statements as a number of important factors could cause our actual results to differ materially from the expectations expressed in such forward-looking statements. These factors include, but are not limited to the possibility that the proposed acquisition does not close when expected or at all because required regulatory or other approvals are not received or other conditions to the closing are not satisfied on a timely basis or at all, that RBC Capital Markets and Richardson Barr may be required to modify the terms and conditions of the proposed transaction to achieve regulatory approval, or that the anticipated benefits of the transaction are not realized as a result of such things as the strength of the economy and competitive factors in the areas where Richardson Barr does business; the impact of changes in the laws and regulations regulating financial services and enforcement thereof (including banking, insurance and securities); judicial judgments and legal proceedings; RBC Capital Markets ability to complete the acquisition of Richardson Barr and to integrate it with RBC Capital Market successfully; reputational risks, and other factors that may affect future results of RBC and Richardson Barr, including timely development and introduction of new products and services, changes in tax laws, and technological and regulatory changes. We caution that the foregoing list of important factors is not exhaustive. Additional information about these and other factors can be found in Royal Bank of Canada's 2007 Annual Report.

Except as required by law, RBC Capital Markets, Royal Bank of Canada and Richardson Barr assume no obligation to update the forward-looking statements contained in this press release.


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06/02/2008 07:32:26