Deutsche Bank-Cerberus Advisory Agreement Set to End: What Happens Next?

Deutsche Bank, one of the largest financial institutions in the world, has been in partnership with Cerberus Capital Management for several years, with Cerberus acting as an advisor to the bank. However, this partnership is set to come to an end soon, with the two companies announcing that the advisory agreement will cease to exist in the coming months. So, what does this mean for both companies and their clients, and what happens next?

The Deutsche Bank-Cerberus partnership began in 2013, with Cerberus helping the bank to manage and dispose of non-core assets, as well as advising on various other aspects of its business. The partnership has been beneficial for both companies, with Deutsche Bank benefiting from the expertise of Cerberus in managing its non-core assets, while Cerberus has been able to expand its business by working with one of the largest financial institutions in the world.

However, the decision to end the advisory agreement was mutual, with both companies stating that it was time for them to move in different directions. Deutsche Bank has expressed its desire to manage its non-core assets in-house going forward, while Cerberus has stated that it will continue to focus on its core business of private equity and credit.

So, what happens next? For Deutsche Bank, the end of the advisory agreement means that it will need to take on the responsibility of managing its non-core assets without the expertise of Cerberus. This could present a challenge for the bank, as it will need to build up its own team to manage these assets effectively. However, Deutsche Bank has stated that it is confident that it can manage the assets on its own.

For Cerberus, the end of the partnership with Deutsche Bank is not likely to have a significant impact on its business. The company has a diversified portfolio of investments, and the advisory agreement with Deutsche Bank was just one part of its business. Cerberus will continue to focus on its core business of private equity and credit, and is expected to continue growing and expanding its business globally.

Overall, the end of the Deutsche Bank-Cerberus advisory agreement is a significant development in the financial world, as it marks the end of a successful partnership between two leading financial institutions. While there may be challenges ahead for Deutsche Bank as it takes on the responsibility of managing its non-core assets, the bank is confident that it can manage this on its own. Meanwhile, Cerberus is expected to continue to grow and expand its business, building on its success as a leading private equity and credit firm.