Houlihan Smith & Company: A Company's Journey Through Success and Closure

Houlihan Smith & Company was a well-established investment bank that operated for over 90 years. The company was founded in 1926 by John Houlihan and Robert Smith.

Houlihan Smith & Company's early success was rooted in its commitment to serving the needs of its clients. The company's founders recognized the importance of building strong relationships with their clients and providing them with expert advice.

As the company grew, it expanded its services to include corporate finance, mergers and acquisitions, and equity research. Houlihan Smith & Company's expertise in these areas helped it establish a reputation as a leading investment bank.

In 2017, Houlihan Smith & Company announced its closure due to declining revenue and increasing competition from larger investment banks.

Houlihan Smith & Company's operations were marred by a failed lawsuit in 2010.

The company filed an unopposed request for a temporary restraining order against the operators of 800notes.com and Whocallsme.com, which contained user comments critical of Houlihan's tactics.

Houlihan's attorneys claimed trademark infringement and right of publicity as reasons for the order, but the federal judge refused to grant a preliminary injunction, allowing the restraining order to expire.

The company went out of business during the attorney fee phase of the case, but the defendants filed for a motion for attorney fees amounting to $137,632.34 in February 2011.

The case was ultimately settled for $35,000.

Houlihan's past operations were quite extensive, with the company valuing billions of dollars worth of Level 3 securities between 2006 and 2008. This work involved close collaboration with large public companies, hedge funds, and private equity firms to ensure compliance with financial reporting requirements.

Houlihan was particularly involved in providing independent valuations of Auction-Rate Securities (ARS) for Fortune 1000 companies. ARS are long-term securities that hold auctions every seven to 35 days, giving the security a risk profile similar to a shorter-term security with frequent liquidity events.

As the credit crisis unfolded in 2007, these auctions began failing in the third quarter, leading to a lack of liquidity in the credit markets. Houlihan worked closely with its clients and the Big 4 audit firms to independently value these ARS and locate a secondary market for clients to unwind their portfolio of these securities.

The company also represented several hedge funds and private equity firms, providing a range of services including portfolio and individual security valuation, M&A advisory, risk analysis, and traditional investment banking services. Houlihan provided advisory services regarding the alternative investment marketplace and underlying complex structured financial products.

Houlihan's investment banking activities were consolidated under the Houlihan Smith Capital Markets umbrella, with the group specializing in transaction sizes of $10 million to $250 million in the middle market.

In April 2010, Houlihan's attorneys filed an unopposed request for a temporary restraining order against the operators of 800notes.com and Whocallsme.com.

Houlihan's attorneys claimed trademark infringement and right of publicity as the reasons for the order, but their claims were cited as uninformed.

The temporary restraining order required the removal of factual statements and prevented users from posting comments related to Houlihan's phone number on those websites.

In May 2010, Public Citizen, representing the website operators pro-bono, removed the case to federal court.

The federal judge allowed the restraining order to expire, refusing to grant a preliminary injunction.

Houlihan moved to dismiss the complaint in August 2010.

The company went out of business sometime during the attorney fee phase of the case.

The defendants filed a motion for attorney fees amounting to $137,632.34 in February 2011.

The case was ultimately settled for $35,000.

Houlihan Smith & Company has a Global Healthcare Markets Group that focuses on the healthcare industry. They have extensive experience advising healthcare and pharmaceutical clients.

The firm provides financial advisory services, including mergers and acquisitions (M&A) transactions, valuations, and capital raising. They have expertise in these areas.

Their deal process involves a team of experienced professionals who have relevant experience in M&A transactions and financial advisory. This team is led by Houlihan Smith's deal team.

Houlihan Smith's resources and expertise make them a trusted partner for healthcare clients. They have a strong track record of success in the industry.