If Lehman sells Neuberger, than LEH will be bought out
Posted on Thursday, August 7th, 2008 | In Uncategorized
Contributed by: Agustin Gonzalez (http://agcapitalmgt.com/) -
With a current market value of about $11 billion and Lehman’s Neuberger piece valued somewhere in the neighborhood of $8 billion, then an asset sale would then leave the rest of the firm’s pieces (investment banking, fixed income, and equity) sitting somewhere around $3 billion. And thats pocket change for a larger bank. In my opinion, a sale, in effect, would be the beginning of an end of the Lehman franchise.
Lehman to sell Neuberger? [Dealbreaker.com]
Lehman mulls sale of Neuberger [CNBC]
I suspect we should know within the next couple of weeks. This is a huge decision for LEH and playing the Neuberger card is like going “all-in” in a high stakes poker tournament. Let’s just hope that they don’t overplay their hand.
Last 5 posts by Agustin Gonzalez
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 About Agustin Gonzalez (http://agcapitalmgt.com/)
Agustin Gonzalez is Founder/Portfolio Manager of AG Capital Management in Dallas, Texas. He trades primarily domestic equities and options for his clients. Prior to starting his own firm, he advised high-net-worth clients in investment strategy and portfolio management at Merrill Lynch Global Private Client Group. Mr. Gonzalez attended the United States Air Force Academy between 1994 and 1997 before receiving an Honorable Discharge. He then graduated with a Bachelor of Science (BS) in Management Science in 2000 from the Southern Methodist University's School of Engineering and Applied Sciences in Dallas, Texas. He is also near completion of his Masters in Business Administration (MBA) from the Southern Methodist University's Cox School of Business with a dual concentration in Financial Consulting and Corporate Finance. |
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September 18th, 2008 at 1:45 am
A question:
What happens to investors’ holdings they bought through Lehmans and are held by Lehmans for the investor/ Do these holdings get moved to the new account with the buyer of Lehmans?
Thanks for your opinion.