JP Morgan可能要提高对Bear Stearns的出价

henry

J.P. Morgan Nears Deal
To Increase Bear Bid
By ROBIN SIDEL
March 24, 2008 8:12 a.m.

J.P. Morgan Chase & Co. is near an agreement to quintuple the price it will pay for Bear Stearns Cos. Inc. to $10 a share, according to a person familiar with the situation.

Bear's board of directors was meeting Monday morning and an announcement was expected after that, this person said.

Shares of Bear Stearns rose 54% to $9.16 in premarket trading. Shares closed Thursday at $5.96 in composite trading.

The revised deal, which was negotiated over the weekend, is aimed at mollifying Bear's investors who have been furious with the $2-a-share agreement struck last weekend as the storied investment bank was on the brink of collapse.

Other terms of the new deal are expected to be substantially different than the original pact. In particular, the role of the Federal Reserve, which played a critical role in the week-old deal, is expected to change, this person said. Further details weren't available.

The talks over a new agreement were first reported by the New York Times.

The original transaction called for the Fed to provide as much as $30 billion in financing for Bear's less-liquid assets, such as mortgage securities, that the firm had been unable to sell as a result of the credit crunch. That aspect of the deal, which was highly unusual, played a key role in getting J.P. Morgan to pursue the acquisition.

henry

JP Morgan可真不喜欢市场转好啊