Citigroup held on to bank loan trader Peter Lapina after an attempt by Goldman Sachs to lure Lapina to its own par loan trading operations. Market players said while a juiced up compensation package was surely part of Citi's pitch, the bank was able to keep Lapina in his seat by moving it. Rather than trading par loans, Lapina will shift his trading focus to the stressed and distressed side of the floor.
Lapina, who has been at Citi on and off for 11 years, was moved to augment Citi's distressed trading footprint, noted sources familiar with the firm's strategy. He will join a team that already includes Jeff Jacob, head of Citi's distressed loan and bond trading, and Paul Zingarini, Citi's distressed loan trader. Although Citi has a fully ramped up distressed trading operation, it wants to build up its market share in the distressed arena, noted a market participant. The firm also recently brought on distressed veteran Nancy Wilson Brothers from Morgan Stanley. Lapina, Jonathan Calder, Citigroup's head of loan sales and trading, and Jacob declined comment.
Meanwhile, loan market players said Goldman's incumbent par loan trader Albert Dombrowski will likely move into a position with the firm's proprietary desk, but sources said there have been no moves yet. Dombrowski declined to comment and a spokesman did not comment by press time.