Chatsworth Securities Research
Advisory Approach
Chatsworth Securities LLC is a Greenwich, CT-based investment banking firm founded in 1996 that has established itself as a specialized advisor in cross-border M&A transactions, particularly between the United States and Europe. The firm operates with a distinct thesis focusing on technology-enabled businesses, financial services, and payment platforms. Chatsworth's approach combines traditional investment banking expertise with deep domain knowledge in FinTech, digital payments, and data analytics—positioning them uniquely at the intersection of technology and financial services.
The firm's sweet spot lies in the lower middle market, typically advising companies with transaction values between $10 million and $500 million. Chatsworth has developed particular strength in cross-border transactions, establishing a Paris office in 2022 to better serve European companies seeking US capital and American companies pursuing European expansion opportunities. The firm's four founding principals bring decades of experience from major institutions including Lazard Freres, Smith Barney, Merrill Lynch, and James Capel (now HSBC), providing institutional-quality execution with boutique firm attention.
Chatsworth takes an integrated approach to M&A advisory, offering not just transaction execution but also strategic consulting on business metrics, data monetization, and operational improvements. The firm has developed expertise in helping companies unlock value through payment data analytics, digital transformation, and tax-efficient cross-border structures—particularly leveraging France's favorable tax environment for technology companies.
Sector Focus
Chatsworth's M&A practice concentrates on five primary sectors:
Financial Services: The firm has deep expertise in asset management, mutual funds, brokerage, insurance, and banking. Chatsworth has raised nearly $5 billion for traditional and alternative money managers and participated as underwriter in 600+ public offerings. Their team includes former Dreyfus Corporation executives who understand the regulatory and product development nuances of the asset management industry.
Technology & FinTech: This represents Chatsworth's strongest vertical. The firm has built a specialized practice in digital payments, QR code payment platforms, drive-thru payment technology, and payment analytics. Key engagements include advising Pi Cash Système on its sale to Givex, partnering with OPER Pay (OrderEx) on QR payment technology, and working with 5Thru on drive-thru payment transformation. The firm's Managing Directors can read code, understand database structures, and speak fluently about SaaS metrics—uncommon capabilities for investment bankers.
Real Estate: Chatsworth advises on commercial real estate, strategic partnerships, residential/multi-family developments, and distressed asset situations. The firm has completed financing and advisory work across development projects and real estate financings.
Transportation & Maritime: A specialized practice area for Chatsworth. In 2019, the firm became a financial institutional partner in ONEX Elefsis Shipyards, a $400 million Greek shipyard turnaround—the biggest turnaround in Greek shipyard history and one of the largest in European history. This transaction demonstrates Chatsworth's ability to structure complex cross-border deals in specialized industrial sectors.
Communications & Media: The firm works on internet content, e-commerce, and digital media transactions, particularly where technology enablement drives value.
Deal Track Record
Chatsworth Securities has completed numerous transactions across its focus sectors:
Notable M&A Transactions:
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Pi Cash Système to Givex (2021): Exclusive sell-side advisor on the acquisition of this Swiss point-of-sale systems provider by Canadian acquirer Givex. The deal expanded Givex's European footprint across France, Germany, Spain, and Italy, serving 2,000 clients.
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ONEX Elefsis Shipyards (2019): Became a financial institutional partner and shareholder in ONEX Elefsis Shipyards, a Greek shipyard turnaround with projected value exceeding $400 million over 15 years. This represents the largest turnaround in Greek shipyard history.
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European Soccer Team Advisory (2022): Engaged by a first-division European soccer team under Managing Director Alessandro Bianchi to advise on US investment opportunities, reflecting the firm's sports industry expertise.
Strategic Partnerships & Advisory Engagements:
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OPER Pay (2022): Strategic partnership with OPER Payment Technologies (OrderEx), a QR-based mobile payment platform. Chatsworth provides capital access and business development advisory.
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5Thru (2022): Partnership with 5Thru, a drive-thru payment transformation platform using image recognition and AI for contactless payments.
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SOGEDEV (2022): Advisory engagement on implementing tax-efficient structures for European payment M&A transactions, leveraging France's research tax credits and government subsidies.
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AppTech Corp (2021): Engaged as strategic advisor for this FinTech company.
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MMEX Resources (2022): Financial advisor for green and blue hydrogen projects.
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Senior Debt Refinancing (2022): Arranged debt refinancing to support Latin American expansion.
Aggregate Track Record:
- Capital raised: nearly $5 billion for traditional and alternative money managers
- Public offerings: 600+ as underwriter
- Municipal bond underwritings: Multiple transactions
- Cross-border transactions: Significant experience between US and Europe
Process & Fee Structure
Chatsworth runs institutional-quality sell-side processes with exhaustive buyer outreach. The firm's typical process includes:
Engagement Structure:
- Retainer: Monthly fee (credited against success fee)
- Success fee: Industry-standard percentage structures
- Process timeline: Typically 6-9 months from engagement to close
- Buyer outreach: 200-400 targeted buyers per engagement (significantly higher than industry average of 50-100)
Process Components:
- Comprehensive due diligence support
- Management presentation coaching
- Structured data room preparation
- Quality of earnings analysis support
- Tax-efficient structuring (particularly for cross-border deals)
- Post-acquisition integration planning
Minimum Engagement Size: Chatsworth typically requires a minimum transaction value of $10 million TEV. The firm focuses on situations where operational complexity creates valuation opacity that institutional-quality process management can unlock.
Buyer Network
Chatsworth maintains relationships with 2,000+ active buyers globally:
Private Equity: Strong relationships across lower middle market and middle-market PE firms, particularly in technology, financial services, and industrial sectors. The ONEX shipyard transaction demonstrates ability to access specialized industrial PE capital.
Strategic Buyers: Deep relationships with:
- Canadian acquirers (demonstrated by Givex transaction)
- European strategic buyers across technology, payments, and industrial sectors
- US financial services strategics seeking European expansion
- Global payment companies looking for tuck-in acquisitions
International Buyers: Particular strength in cross-border transactions:
- US-Europe corridor (Paris office facilitates)
- Canada-US transactions
- European companies accessing US liquidity
Institutional Investors: Through their capital raising business, Chatsworth has relationships with pension funds, endowments, foundations, insurance companies, hedge funds, and family offices—providing access to alternative capital sources for recapitalizations and growth equity situations.
Competitive Positioning
Chatsworth differentiates from other lower middle market banks through several unique capabilities:
Cross-Border Expertise: The firm is one of the few boutique investment banks with a physical presence in Paris (established 2022) and deep expertise in US-Europe cross-border transactions. They understand French tax advantages (research credits up to 30%, government grants, subsidized loans) and can structure transactions to leverage these benefits.
Technology Literacy: Uncommon for investment bankers, Chatsworth's Managing Directors can read code, understand database structures, evaluate SaaS metrics, and speak fluently about technology architecture. This allows them to credibly advise technology companies and assess technical due diligence issues.
FinTech & Payments Specialization: The firm has developed genuine expertise in digital payments, QR code technology, payment analytics, and data monetization. They understand the strategic value of first-party payment data and how it can unlock EBITDA and business insights.
Institutional Backgrounds: The founding principals have held senior positions at major institutions (Lazard, Smith Barney, Merrill Lynch, HSBC), bringing institutional-quality execution to boutique-sized clients.
Integrated Advisory Approach: Chatsworth doesn't just execute transactions—they help clients improve business metrics, monetize data assets, implement tax-efficient structures, and prepare for transactions well before the sale process begins.
Process Rigor: The firm's exhaustive buyer outreach (200-400 contacts vs. industry 50-100) ensures comprehensive market coverage and maximizes competitive tension.
Not a Fit If
Chatsworth typically declines:
- Businesses below $10 million TEV
- Situations requiring quick, limited-process sales (the firm's value is in exhaustive outreach)
- Pure asset sales without going-concern operations
- Companies unwilling to invest in preparation (data room, QofE, management presentations)
- Founders seeking confidentiality over competitive tension
Team
Chatsworth has approximately 34 professionals across 4 Senior Managing Directors, 17 Managing Directors, 2 Vice Presidents, 3 Senior Analysts, and 8 Advisors:
Senior Managing Directors (Founding Principals):
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Ralph R. DiFiore, CFA: Founding member and co-founder of Chatsworth Capital Corporation. Former Director of Retirement Funds at McDonnell Douglas Corporation, with similar roles at Owens-Illinois and NCR Corporation. Founding partner of an international asset manager; former investment banker at James Capel (now HSBC). BBA and MA from Pace University.
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Lee M. Gerkin, J.D.: 30+ years investment banking experience. Started at Chemical Bank (now JPMorgan Chase) Merchant Banking Group; transferred to Madrid to establish Corporate Finance Group. Joined Lazard Freres International Division as VP. At James Capel (HSBC), served as Deputy Head of Corporate Finance and started Equity Capital Markets Group, lead-managing 20+ IPOs. Joined Smith Barney as Managing Director and Group Head for Latin American Investment Banking. Juris Doctor from Southern Methodist University School of Law.
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Daniel C. Maclean: Founding member. 23-year veteran of The Dreyfus Corporation; General Counsel since 1978 and VP since 1982. Served on Executive Committee with managerial involvement in all Dreyfus activities. Recognized leader in industry product development and regulatory matters; multiple terms on Investment Company Institute Executive Committee (1989-1996). Columbia College, University of Paris, Georgetown University Law graduate; graduate studies in taxation at George Washington University Law.
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Joel J. Matcovsky: Founding principal and founding member of Chatsworth Capital Corporation. Former Managing Director at major investment banking firms in US, UK, and Europe. Founder and Executive VP of Merrill Lynch Asset Management; co-developer of CMA (Cash Management Account) concept. Former Managing Director of Banque Paribas' merchant banking arm in North America and James Capel's corporate finance group. Former Chairman of SIA's Committee on Investment Management Regulation; adjunct Professor of Economics at NYU Stern. Educated at CUNY, Brown University, and NYU Law School.
Key Managing Directors:
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Marcus Magarian: Managing Director with 15 years M&A experience and substantial technology credentials. Fluent in English, French, and Portuguese. Led Pi Cash Système sale to Givex; leads firm's FinTech and payments practice. HEC Paris alumnus.
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Alessandro Bianchi: Managing Director focused on blockchain and European sports industry. Leads firm's European soccer advisory practice.
Geographic Coverage
Primary Location: Greenwich, CT (headquarters)
International Presence: Paris, France (representative office established 2022)
US Coverage: National with particular strength in Northeast and financial hubs
International Focus: Cross-border transactions between US and Europe, particularly France, UK, Southern Europe, and Canada