BNP Paribas has boosted its presence in the European leveraged finance market by hiring nine bankers from German lender HVB.

The French bank has recruited a team under Jens Witrin, which includes Thomas Hofmeister, Ralph Gimpel and six associates and analysts. The hire of the Munich-based team signals a shift in strategy for BNP Paribas, which rivals have viewed as conservative in its expansion in leveraged finance. A head of leveraged finance at a rival bank said: "BNP Paribas is powerful domestically but has been in and out of the European market. If it wants to step up a league, this is the best way as a lot of the HVB guys are known and respected." BNP Paribas is understood to have been considering merging its high-yield and leveraged finance units for months, though it is unclear if the hire of the HVB team comes before a restructuring. Michael Johnson heads the bank's leveraged finance business while Youssef Khlat is head of high-yield capital markets. Rivals said the HVB team's departure, which includes the German bank's three top deal originators in Munich, will come as a blow. One former HVB banker said: "HVB's takeover by UniCredit has seen the balance of power shift from Munich and that has caused some consternation among some of the German people. There is also an intense management style, which doesn't necessarily make for a pleasant working environment."