KeyBanc Capital Markets to acquire Cain Brothers

KeyBanc Capital Markets Inc has agreed to buy New York City-based Cain Brothers & Company, a healthcare-focused M&A investment bank. No financial terms were disclosed. Freeman & Co. Securities LLC advised Cain Brothers on the transaction. The deal is expected to close in late 2017.


NEW YORK AND CLEVELAND (August 15, 2017) – KeyBanc Capital Markets Inc., the corporate and investment banking unit of KeyCorp (NYSE: KEY), today announced it has entered into a definitive agreement to acquire Cain Brothers & Company, LLC, a pre-eminent healthcare focused investment banking and public finance firm. Following the closing of the transaction and upon receipt of regulatory approvals, Cain Brothers will go to market as a division of KeyBanc Capital Markets.

Founded in 1982 and headquartered in New York City, Cain Brothers is consistently ranked as a top middle market healthcare M&A investment banking firm for both corporate and tax-exempt entities. The firm is known for its deep domain knowledge and execution capabilities, particularly in healthcare providers, healthcare services and life sciences/medical technology.

This acquisition underscores Key’s commitment to creating the premier corporate and investment bank serving dynamic, emerging growth and middle market companies and financial sponsors. The combined platform will significantly expand Key’s existing healthcare investment banking group in a core strategic vertical. Healthcare is the largest sector of the U.S. economy, and the acquisition presents a significant opportunity to further deepen Key’s impact with clients delivering Cain Brothers’ distinctive capabilities and leveraging its broad network.

“I am pleased to welcome the Cain Brothers team to Key. This combination brings Key’s expanded capabilities together with Cain Brothers’ deep healthcare advisory and public finance practice, along with a shared client-focused culture embedded in each firm.” said Co-head of Key Corporate Bank and President of KeyBanc Capital Markets, Randy Paine. “I am confident that our combined team will provide an unmatched level of healthcare knowledge and execution capabilities to help our clients achieve their strategic objectives in what is an evolving and dynamic healthcare marketplace.”

“We’re very excited to join KeyBanc Capital Markets,” said President and CEO of Cain Brothers, Robert J. Fraiman, Jr. “Key’s established, integrated corporate and investment banking platform will allow us to bring enhanced capabilities to our clients, further improving our value proposition. At the same time, we look forward to bringing our knowledge and capabilities to Key’s extensive healthcare services and provider client base. I’m proud of what we have achieved and confident that our people and capabilities are a natural complement to Key’s team and the bank’s strengths and strategy.”

Jim Cain, Co-Founder of Cain Brothers, said: “My late brother Dan and I are very proud of the Cain Brothers platform, our team and the clients we have assisted over the years. As when we transitioned the leadership of Cain Brothers to Rob Fraiman and our other senior officers, I am confident that our combination with Key will bring a new chapter of growth for Cain Brothers. I look forward to the continued success of the firm serving our valued healthcare clients.”

The transaction is subject to regulatory approval and customary closing conditions and expected to close in late 2017. Key was advised by KeyBanc Capital Markets Inc. Cain Brothers was advised by Freeman & Co. Securities LLC.

About Cain Brothers:
Cain Brothers is a pre-eminent investment bank focused exclusively on healthcare. A recognized leader in M&A Advisory, the firm also has extensive knowledge of financing strategies and the expertise necessary to navigate the most complex financing transactions to meet the needs of for-profit and not-for-profit healthcare organizations. Cain Brothers has 100 employees and is headquartered in New York City, NY.

About KeyBanc Capital Markets:
KeyBanc Capital Markets is a leading corporate and investment bank providing capital markets and advisory solutions to dynamic companies capitalizing on opportunities in changing industries. Our deep industry expertise, broad capabilities and unique ideas are seamlessly delivered to companies across the Consumer & Retail, Diversified Industries, Healthcare, Industrial, Oil & Gas, Real Estate, Utilities, Power & Renewables, and Technology verticals. With over 800 professionals across a national platform, KeyBanc Capital Markets has more than $30 billion of capital committed to clients and an award-winning Equity Research team that provides coverage on over 700 publicly-traded companies. KeyBanc Capital Markets is a trade name under which corporate and investment banking products and services of KeyCorp and its subsidiaries, KeyBanc Capital Markets Inc., Member NYSE/FINRA/SIPC (“KBCMI”), and KeyBank National Association (“KeyBank N.A.”), are marketed. Securities products and services are offered by KeyBanc Capital Markets Inc. and its licensed securities representatives, who may also be employees of KeyBank N.A. Banking products and services are offered by KeyBank N.A.

About KeyCorp:
KeyCorp’s roots trace back 190 years to Albany, New York. Headquartered in Cleveland, Ohio, Key is one of the nation’s largest bank-based financial services companies, with assets of approximately $135.8 billion at June 30, 2017. Key provides deposit, lending, cash management, insurance, and investment services to individuals and businesses in 15 states under the name KeyBank National Association through a network of more than 1,200 branches and more than 1,500 ATMs. Key also provides a broad range of sophisticated corporate and investment banking products, such as merger and acquisition advice, public and private debt and equity, syndications, and derivatives to middle market companies in selected industries throughout the United States under the KeyBanc Capital Markets trade name. For more information, visit KeyBank is Member FDIC.