Ken Moelis, head of investment banking at UBS Warburg has moved swiftly to install close colleague Warren Woo as the firm's new head of financial sponsor coverage after Art Penn's decision to leave the firm.

Penn resigned three months after a management reshuffle in which Moelis moved him from co-global head of leveraged finance to overseeing relationships with private equity firms. The move cut back Penn's responsibilities and colleagues spoke of tensions between Moelis and Penn.