CapitalKey Advisors, a New York investment bank, and Dawnay, Day, a UK financial services group, will this week launch a European joint venture to provide mergers and acquisitions and private equity financing services.

CapitalKey's high-profile shareholders include Merrill Lynch, Credit Suisse First Boston, JPMorgan, Dresdner Kleinwort Wasserstein, Fleet Boston Financial and Wit SoundView. Much of the venture's work will come from the wealth management clients of CapitalKey shareholders. Deals will be executed through Dawnay, Day's investment banking subsidiary, Dawnay, Day Corporate Finance. The target audience is middle market European companies worth between £10m (€16m) and £100m.