Lazard has formed an alternative capital finance group in the US, which will focus on all aspects related to private investments in public equity and registered direct offerings, and hired Richard Gormley from Cowen and Company to run the business.

Pipes are one type of private placement involving equity and debt in which the group will specialise. They allow listed companies to raise small amounts of capital without seeing their share price suffer from public scrutiny. Accredited investors are allowed to purchase stock in a public company, generally at a discount but the stock can only then be sold to the public after the shares are registered with the SEC.