KeyBanc Capital Markets entered into a definitive agreement to acquire Cain Brothers & Company, a 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 a 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. Cain Brothers was advised by Freeman & Co. Securities.