Skip to main content
This Board Has Moved

This board has been migrated to our new platform! Check out the new home page at discussion.fool.com or click below to go directly to the new Board on the new site.

Go to the New Site
Message Font: Serif | Sans-Serif
 
No. of Recommendations: 0
Good morning,

Chase Manhattan Corp. agreed to pay $1.35 billion cash for Hambrecht & Quist Group, giving the second-largest U.S. bank the stock underwriting business it has long sought.

Chase will pay $50 a share for Hambrecht & Quist, 22 percent more than yesterday's closing price of 41 1/16. Chase will also set aside $200 million in stock to retain key Hambrecht & Quist bankers. H&Q shares rose 7 11/16 to 48 3/4 in morning trading; Chase fell 1 to 73 1/8.

``It adds another arrow to the quiver of their services,' said Stephen Berman, senior equity analyst at Stein Roe & Farnham Inc., which owns about 800,000 Chase shares.

According to today's Bloomberg news, investors had speculated Chase would merge with a Wall Street investment bank such as Morgan Stanley Dean Witter & Co. or Merrill Lynch & Co. Instead, it becomes the third East Coast commercial bank to buy a San Francisco-based investment bank in two years.

Click on the Quote box above and scroll down to the "news" link to read the full press release.

Keep Foolish and Prosper,

Spirit
Print the post  

Announcements

When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.