Photo by James Sanna | Banker & Tradesman staff
Providence-based Citizens Financial Group Inc. plans to acquire another investment bank, the third deal by Citizens’ commercial bank this year.
Citizens said in a statement yesterday that it has agreed to an all-cash deal to purchase most of the assets of DH Capital LLC, a private investment banking firm that works with companies in the internet infrastructure, software and next generation IT services sector, as well as the communications sector.
The bank said the transaction would strengthen Citizens’ growing corporate advisory capabilities.
“Clients view Citizens as a trusted strategic and financial partner committed to delivering complete solutions, quality execution and excellent service throughout their business life cycle,” Donald McCree, vice chairman and head of commercial banking at Citizens, said in the statement. “The DH Capital team brings us deep expertise in the digital infrastructure sector, a key and ongoing area of opportunity in today’s highly dynamic commercial market.”
DH Capital is headquartered in New York City and has another office in Boulder, Colorado. The investment bank has completed more than 200 merger and acquisition transactions totaling approximately $35 billion in value, according to the statement.
“We share Citizens’ vision to offer robust advisory capabilities with deep sector expertise, as well as their commitment to exceptional client solutions. Co-founder Joe Duggan, the rest of the team and I look forward to joining Citizens and continuing to provide trusted advice to a growing list of clients,” DH Capital Managing Partner Adam Lewis said in the statement. “Coming together with Citizens will bring significant strategic benefits for our clients as we expand the service portfolio to include additional debt and equity financing solutions as well as treasury services through a national network of culturally aligned commercial banking professionals.”
Citizens said the acquisition would bring additional digital infrastructure sector expertise to its M&A advisory team. The corporate advisory team bank has already expanded this year with the acquisitions of Willamette Management Associates and investment bank JMP Group LLC.
Citizens expects to close the deal, which is subject to regulatory approval, in the first quarter. The terms of the transaction and the price were not disclosed. Under the terms of the agreement, Citizens said its wholly-owned subsidiary, Citizens Capital Markets Inc., would purchase substantially all of DH Capital’s assets, with DH Capital then operating as a division of CCMI.
