Lehman Brothers Inc. may consider partnering with a strategic alliance, an asset sale or a stock buyback to stabilize the firm's footing. No doubt that this recent report won't help out Lehman Brothers stocks, which have been plagued by
rumors. The stock opened Monday morning at $16.25 and has been sinking throughout the day.
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The
report by The Wall Street Journal says that Lehman is holding talks with the South Korean financial institutions that it reached out to a few months ago before its $2.8 billion loss.
Those institutions include Korea Development Bank and a commercial bank such as Kookmin Bank, according to past reports by Reuters and the Financial Times.
Lehman may also sell some of its troubled assets, similar to
Citigroup Inc.'s recent trimmings, or sell off its leveraged loans such as Citigroup, Deutsche Bank AG and Goldman, Sachs & Co.
did in April.
There were no further reports on what assets Lehman may shed if it decides to do so. A couple of weeks ago,
CNBC's Charlie Gasparino reported that Lehman Brothers was considering selling or spinning off its asset management unit, formerly known as Neuberger Berman, and that the business could fetch $8 billion.
- Maria Woehr
Troubled Wall Street
Share prices at 1:00 pm July 14, 2008 |
| Name |
Open |
Last price |
Change |
Mkt cap |
| J.P. Morgan Chase & Co. |
31.92 |
32.00 |
-1.25 |
109.62B |
| Lehman Brothers Inc. |
13.88 |
13.89 |
-.52 |
9.62B |
| Merrill Lynch & Co. |
25.84 |
25.78 |
-1.75 |
25.45B |
| Goldman Sachs Group Inc. |
159.55 |
159.60 |
-3.08 |
62.94B |
| Morgan Stanley |
32.22 |
32.24 |
-1.27 |
35.90B |
| Citigroup Inc. |
15.40 |
15.42 |
-0.79 |
81.17B |
| Fannie Mae |
9.52 |
9.59 |
-.71 |
9.41B |
| Freddie Mac |
6.47 |
6.49 |
-1.25 |
4.26B |
| Bank of America Corp. |
20.32 |
20.36 |
-1.34 |
91.37B |
| Wachovia Corp. |
10.03 |
10.04 |
-1.51 |
21.59B |
Source: The Deal |
