BoA sells First Republic Bank to private equity October 21, 2009 BANK of America said yesterday it has agreed to sell First Republic Bank (FRB), the private bank and wealth manager, to a private-equity group in a deal expected to be worth over $1bn (£602m). A consortium including General Atlantic and Colony Capital are set to take over the unit, which was originally bought by Merrill [...]
Ponzi suspect Freeman surfaces at court hearing October 21, 2009 TERRY Freeman, the City trader suspected of running a £40m Madoff-style Ponzi fraud, was forced to come out of hiding to attend a bail hearing yesterday. Freeman, 61, was remanded on conditional bail to appear at City of London Magistrate’s court again on 28 October. The former foreign exchange trader was arrested at his house [...]
Trading lifts US banks to post a profit October 21, 2009 MORGAN Stanley yesterday smashed Wall Street expectations to report $757m (£456m) in net profit, with its riskier trading operations stealing the thunder from its growing brokerage. Strong fixed income sales and trading revenue and improved investment banking underwriting results broke a three-quarter losing streak as Morgan Stanley belatedly joined rivals like Goldman Sachs in returning [...]
Tax credits boost profit at Deutsche October 21, 2009 DEUTSCHE Bank yesterday said it expects third-quarter profit to triple after a boost from tax credits, though analysts said the market had been anticipating an even better performance from the bank. Germany’s biggest bank said pre-tax profit for the three months to September would be in the range of €1.3bn (£1.17bn), with net profit coming [...]
Serious Fraud Office begins probe into City trader Levene October 21, 2009 The Serious Fraud Office (SFO) has launched a formal criminal investigation into the activities of north London financier Nicholas Levene. The 45-year-old, from High Barnet, has been declared bankrupt as City clients pursue him through the courts over alleged debts of at least £200m. The Serious Fraud Office (SFO) said it has opened an inquiry [...]
Commerz bank wins ruling to withhold Dresdner bonuses October 21, 2009 A COURT in Frankfurt yesterday backed Commerzbank chief executive Martin Blessing’s campaign against excessive bonus payments when it struck down claims by 13 Dresdner Bank employees over bonuses. Current and former employees of Dresdner Bank sued parent company Commerzbank for its refusal to pay out claims ranging from €29,166 to €450,000 , totalling around €2m. [...]
Insurer Pearl offers better bonds deal October 21, 2009 PEARL, the life insurance group that is planning a stock market flotation sometime next year, has resurrected discussions with the disgruntled holders of £500m of its bonds. Earlier this year, Pearl, then led by serial entrepreneur Hugh Osmond, suspended interest payments on the bonds, sparking protests from the holders, including representatives from Rathbone, F&C, Axa [...]
Setback for Oracle Sun tie-up October 21, 2009 Europe’s antitrust chief told the president of Oracle yesterday that the tech giant had so far failed to ease concerns that its plan to buy Sun Microsystems may be anti-competitive. The European Commission is reviewing the world’s second biggest software maker’s planned $7bn (£4.2bn) takeover of Sun, with a decision expected by 19 January on [...]
Moulton to list new vehicle October 21, 2009 Jon Moulton, the high-profile private equity guru who recently quit AlchemyPartners is planning to raise £100m for his comeback firm Better Capital through a listing on the stock market
Euro rises to 14-month high October 21, 2009 The euro rose above $1.50 yesterday for the first time since August 2008 as expectations that the Federal Reserve would hold US interest rates very low for some time yet continued to weigh on the dollar. The euro rose to $1.5003, its highest in about 14 months. It was last trading at $1.4989, up 0.3 [...]
