Lazard Ltd on Tuesday launched a new arm, Lazard Capital Solutions, aimed at advising its clients on capital raising, as the Wall Street firm strives to open new pathways for growth.

Tim Donahue, who left U.S. banking giant JPMorgan Chase last year to become vice chairman of Lazard's U.S. investment banking and lead its private-credit business, will be the global head of the new team, the bank said in a statement.

Peter Orszag, who takes over as Lazard's CEO on Oct. 1, said this approach will bolster the company's comprehensive range of capital-raising solutions, establish better communication between Lazard and our largest buyside clients.

Lazard, a known face in the dealmaking industry in the U.S., has been struggling as dealmaking activities are in a lull due to economic uncertainty. Lazard reported a surprise loss in the first quarter as activity slumped.

(Reporting by Jaiveer Singh Shekhawat in Bengaluru; Editing by Shailesh Kuber)