Comments on: KDB Talks With Lehman Still Live http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live.html Sun, 22 Nov 2009 06:06:33 -0500 http://wordpress.org/?v=2.8.4 hourly 1 By: Anonymous http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live.html#comment-13970 Anonymous Tue, 02 Sep 2008 19:42:00 +0000 http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live/#comment-13970 Re " Lehman is willing to give itself away damn near free."<br/><br/>Isnt that the point, i.e, Lehman is worthless? Re ” Lehman is willing to give itself away damn near free.”

Isnt that the point, i.e, Lehman is worthless?

]]> By: curious-er http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live.html#comment-13962 curious-er Tue, 02 Sep 2008 19:01:00 +0000 http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live/#comment-13962 If the previous article on a possible currency crisis in Korea has any validity, the Koreans are probably circling the wagons now. They'll shy away from a risky deal like this, unless Lehman is willing to give itself away damn near free. If the previous article on a possible currency crisis in Korea has any validity, the Koreans are probably circling the wagons now. They’ll shy away from a risky deal like this, unless Lehman is willing to give itself away damn near free.

]]> By: Jesse http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live.html#comment-13957 Jesse Tue, 02 Sep 2008 16:21:00 +0000 http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live/#comment-13957 This is an interesting 'deal' with a lot of ups and downs. I've been in deals like this with a big guy pushing it against a lot of headwinds, chopping and slicing the deal as it rots on the vine. Maybe he will pull this off in some shape or form. Maybe it won't finally matter at the end of the day.<br/><br/>The Artifice of the Deal, Part 2<br/><br/>http://jessescrossroadscafe.blogspot.com/2008/09/kdb-and-artifice-of-deal-part-2.html This is an interesting ‘deal’ with a lot of ups and downs. I’ve been in deals like this with a big guy pushing it against a lot of headwinds, chopping and slicing the deal as it rots on the vine. Maybe he will pull this off in some shape or form. Maybe it won’t finally matter at the end of the day.

The Artifice of the Deal, Part 2

http://jessescrossroadscafe.blogspot.com/2008/09/kdb-and-artifice-of-deal-part-2.html

]]> By: Anonymous http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live.html#comment-13940 Anonymous Tue, 02 Sep 2008 05:50:00 +0000 http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live/#comment-13940 Earlier post by Yves is great:<br/><br/>Re: MONDAY, OCTOBER 22, 2007<br/><br/>Mirabile Dictu: Bear Makes a Deal With Citic<br/><br/>Well, I thought no one would do a deal with Bear, at least not a strategic investor sort (taking a trading position is another matter entirely). But the government controlled Chinese entity Citic appears to have done just that. <br/><br/>>> Jimmy Cayne, Bear Stearns chief executive, said the opportunity to create an alliance with Citic was the most attractive deal he had come across in 40 years.<br/><br/>“It’s a giant step into the most exciting market in the world,” he told the Financial Times. He added that he did not expect significant regulatory problems given the relatively small size of the deal.<br/><br/>Under the proposed alliance, Citic Securities will acquire $1bn worth of securities that will convert into a shareholding of about 6 per cent in Bear Stearns over 40 years. The Chinese brokerage also has the option to raise its holding to 9.9 per cent.<br/><br/>LOL! Earlier post by Yves is great:

Re: MONDAY, OCTOBER 22, 2007

Mirabile Dictu: Bear Makes a Deal With Citic

Well, I thought no one would do a deal with Bear, at least not a strategic investor sort (taking a trading position is another matter entirely). But the government controlled Chinese entity Citic appears to have done just that.

>> Jimmy Cayne, Bear Stearns chief executive, said the opportunity to create an alliance with Citic was the most attractive deal he had come across in 40 years.

“It’s a giant step into the most exciting market in the world,” he told the Financial Times. He added that he did not expect significant regulatory problems given the relatively small size of the deal.

Under the proposed alliance, Citic Securities will acquire $1bn worth of securities that will convert into a shareholding of about 6 per cent in Bear Stearns over 40 years. The Chinese brokerage also has the option to raise its holding to 9.9 per cent.

LOL!

]]> By: Anonymous http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live.html#comment-13939 Anonymous Tue, 02 Sep 2008 05:32:00 +0000 http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live/#comment-13939 JP,<br/><br/>This is a way to adjust the signal-to-noise ratio and offer some hype before the losses are reported; they must think this will maintain stability until then? maybe they should do a reverse split and then bump up the dividend? JP,

This is a way to adjust the signal-to-noise ratio and offer some hype before the losses are reported; they must think this will maintain stability until then? maybe they should do a reverse split and then bump up the dividend?

]]> By: JP http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live.html#comment-13938 JP Tue, 02 Sep 2008 05:19:00 +0000 http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live/#comment-13938 <i>Or former Lehman exec now at the helm of KDB is doing his old buddies a favor by making it look like there might be a bid...</i><br/><br/>Honestly, that is the best explanation I've heard so far. Nothing brings in buyers like the rumor that their competitors are interested. Or former Lehman exec now at the helm of KDB is doing his old buddies a favor by making it look like there might be a bid…

Honestly, that is the best explanation I’ve heard so far. Nothing brings in buyers like the rumor that their competitors are interested.

]]> By: Anonymous http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live.html#comment-13937 Anonymous Tue, 02 Sep 2008 05:01:00 +0000 http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live/#comment-13937 Beating the Lehman dead horse:<br/><br/>The Financial Times reported Wednesday that Lehman held talks earlier this month with Citic Securities and Korea Development Bank to sell 50% of its stock but failed to reach a deal.<br/>"I don't know anything about the reported talks", Tan said. A media relations official for Lehman couldn't immediately be reached for comment. Tan said Citic Securities will continue to be prudent in evaluating any investment opportunities overseas, especially given that the US market isn't in good shape. In March, Citic Securities aborted plans for a $1bn (€675.7m) cross-investment with Bear Stearns after JP Morgan Chase's deal to take over Bear. Citic and Bear had earlier agreed to invest in each other as part of a strategic tie-up in Asia, and Citic had expected to take about 6% of Bear. Beating the Lehman dead horse:

The Financial Times reported Wednesday that Lehman held talks earlier this month with Citic Securities and Korea Development Bank to sell 50% of its stock but failed to reach a deal.
“I don’t know anything about the reported talks”, Tan said. A media relations official for Lehman couldn’t immediately be reached for comment. Tan said Citic Securities will continue to be prudent in evaluating any investment opportunities overseas, especially given that the US market isn’t in good shape. In March, Citic Securities aborted plans for a $1bn (€675.7m) cross-investment with Bear Stearns after JP Morgan Chase’s deal to take over Bear. Citic and Bear had earlier agreed to invest in each other as part of a strategic tie-up in Asia, and Citic had expected to take about 6% of Bear.

]]> By: Anonymous http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live.html#comment-13936 Anonymous Tue, 02 Sep 2008 04:55:00 +0000 http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live/#comment-13936 Yves, have you read this:<br/><br/>Lehman Brothers in urgent talks on capital injection<br/>http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2008/08/31/cnleh131.xml<br/><br/>If the talks with the Koreans fall through, Lehman is lining up alternative investment from other sources, including Citic Securities, a Chinese brokerage which was on the verge of investing in Bear Stearns before its implosion earlier this year, which resulted in a cut-price takeover by JP Morgan, another Wall Street banking group. Yves, have you read this:

Lehman Brothers in urgent talks on capital injection
http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2008/08/31/cnleh131.xml

If the talks with the Koreans fall through, Lehman is lining up alternative investment from other sources, including Citic Securities, a Chinese brokerage which was on the verge of investing in Bear Stearns before its implosion earlier this year, which resulted in a cut-price takeover by JP Morgan, another Wall Street banking group.

]]> By: Anonymous http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live.html#comment-13935 Anonymous Tue, 02 Sep 2008 04:51:00 +0000 http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live/#comment-13935 The Telegraph also reported Sunday that Lehman's talks with KDB have intensified in recent days with the aim of providing a capital injection of as much as $6 billion. KDB has hired bankers from the advisory boutique Perella Weinberg to offer counsel on the negotiations, which could wrap up as early as this week, the U.K. newspaper said on its Web site. The Telegraph also reported Sunday that Lehman’s talks with KDB have intensified in recent days with the aim of providing a capital injection of as much as $6 billion. KDB has hired bankers from the advisory boutique Perella Weinberg to offer counsel on the negotiations, which could wrap up as early as this week, the U.K. newspaper said on its Web site.

]]> By: Anonymous http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live.html#comment-13934 Anonymous Tue, 02 Sep 2008 04:45:00 +0000 http://www.nakedcapitalism.com/2008/09/kdb-talks-with-lehman-still-live/#comment-13934 FYI: Old, but of interest:<br/><br/>Korean newspapers report that the New York-based brokerage firm first approached sovereign wealth fund Korean Investment Corp. But KDB apparently wasn't upset by the snub, perhaps because of some personal ties to Lehman: Its chief executive, Min Euoo-Sung, was the head of Lehman's Korean operations for three years before taking over at KDB last year.<br/><br/>Lehman's clock is ticking<br/>http://money.cnn.com/2008/08/22/magazines/fortune/lehman.sale.fortune/?postversion=2008082218<br/><br/>According to Bove, if a deal doesn't materialize by Monday, then "Lehman is in play." He suggested a stock price of around $20 might get a deal done. Given Lehman's recent lows, and the memory of what happened to Bear Stearns earlier this year, that might not sound like a bad price.<br/><br/>** FIRST PUBLISHED: AUGUST 22, 2008: 1:37 PM EDT FYI: Old, but of interest:

Korean newspapers report that the New York-based brokerage firm first approached sovereign wealth fund Korean Investment Corp. But KDB apparently wasn’t upset by the snub, perhaps because of some personal ties to Lehman: Its chief executive, Min Euoo-Sung, was the head of Lehman’s Korean operations for three years before taking over at KDB last year.

Lehman’s clock is ticking
http://money.cnn.com/2008/08/22/magazines/fortune/lehman.sale.fortune/?postversion=2008082218

According to Bove, if a deal doesn’t materialize by Monday, then “Lehman is in play.” He suggested a stock price of around $20 might get a deal done. Given Lehman’s recent lows, and the memory of what happened to Bear Stearns earlier this year, that might not sound like a bad price.

** FIRST PUBLISHED: AUGUST 22, 2008: 1:37 PM EDT

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