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Investment-Bank Sandler O’Neill 'Sells Out'

November 4, 2010

Sandler O’Neill, an investment bank focused on financial services companies, announced it had sold a minority stake to 2 private equity firms, Kelso & Company and Carlyle Group.  Its existing management will remain - James Dunne III, Jonathan Doyle. 

“As we near the completion of one of the strongest years in Sandler O’Neill’s history, we are very pleased and excited to welcome Kelso and Carlyle as investors.”  ...  “It is a tremendous vote of confidence ...."  -- James Dunne.

Sandler O’Neill operates within a lucrative niche:  advising banks, especially in M&A.  In 2010, the firm advised on 21 mergers and 26 stock offerings.  Sandler is part of Carlyle's financial services fund, which led by the former investment banker Olivier Sarkozy.  Sandler O’Neill was advised by Wachtell, Lipton;  Kelso Debevoise & Plimpton;  Carlyle by Simpson Thacher. [NYT Dealbook, 11/4]