Philip Yates, Merrill Lynch's most senior investment banker in Europe, is moving to New York to run its global mergers and acquisitions business from the US alongside Steve Baronoff.

His surprise move, which accompanies a top-level reshuffle at the US bank, was revealed in an internal memo obtained by Financial News circulated among investment banking staff last week. Yates is head of investment banking for Europe, the Middle East and Africa at present.