Lazard Ltd, one of the world’s largest investment bank, reported a 147 per cent surge in fourth-quarter profit on Friday, powered by growth in its financial advisory business as corporate dealmaking activity ended the year on a high.

“Generally speaking it was a very strong M&A market both in the third and fourth quarter. I think the year is off to a pretty strong start across the board, both in the U.S. and Europe, and we’re seeing quite a bit of activity right now,” Lazard Chairman and Chief Executive Kenneth Jacobs said in an interview.

Lazard, whose business is split between asset management and financial advisory, reported adjusted net income of $192 million, or $1.66 per share, for the quarter, compared with $105 million, or 91 cents per share, a year earlier.

Analysts on average were expecting 97 cents per share, according to IBES data from Refinitiv.

Global M&A activity, one of Lazard’s main revenue drivers, roared back to life in the second half of 2020, even though overall dealmaking activity fell to a three-year low as companies grappled with the financial fallout from the Covid-19 pandemic.

“It’s really technology-driven disruption across industries that’s driving a lot of the activity for most of the companies that have an advantage and those trying to catch up,” said Jacobs.

An increase in shareholder activism, a surge in SPAC transactions and companies’ considerations around environmental, social and governance (ESG) matters have also contributed to the increased M&A activity, Jacobs added.

Lazard’s net revenue for the quarter surged 22 per cent to $878 million and its operating revenue rose to a record quarterly high of $849 million.

Operating revenue from the financial advisory business grew 29% to a record quarterly high of $509 million, while revenue from the asset management arm rose 12% compared with the year-ago period.

Founded in 1848, Lazard has principal executive offices in New York City, Paris and London.