The Deal
Saturday, November 21, 
9:48 am

PE firms close in on Lehman's asset management unit

  Share     E-Mail    Discussion    Print Story
lehman.gifThe plot continues to thicken around Lehman Brothers Inc. asset management unit with private equity firms Kohlberg Kravis Roberts & Co., Hellman & Friedman LLC and Bain Capital LLC circling as bidders while the investment bank continues to agonize over whether or not it should sell its crown jewel.

Continue reading below

Also on Dealscape

The Financial Times is reporting that the three buyout shops have all made bids for the asset management arm, which includes fund manager Neuberger Berman LLC and minority stakes in several hedge funds. The FT is also reporting that the Carlyle Group did not make it to the second round of the informal auction. Carlyle reportedly offered $7 billion for the entire business, with Lehman retaining the right to buy its back in the future, but the bid was rejected as too low.

Even though Lehman needs to raise cash as it stares down the barrel of an estimated $4 billion in write-downs this quarter, the bank has hesitated to part with its asset management unit, seeing it as a prized possession that could be key to Lehman's recovery. - George White

See FT story
See Dealscape post on auction






Post a comment





The Deal Pipeline

Deal Video


Inside The Deal: Avaya Inc.'s Mohamad Ali on the company's next target.


More video...

Crisis On Wall Street
Technology
Deals of The Decade

Community

Industry Insight

Managing your shareholder base

Growth companies and their PE sponsors should be wary of the pitfalls that arise when they layer on tiers of preferred stock.


Industry Insight

Easing the stress of distressed M&A

Corporate buyers face numerous complexities when trying to identify the right moment to purchase a distressed asset.


Editor's Note

Editor's letter: Nov. 16, 2009

Beneath the veneer of Wall Streeters beats the same heart, stirred by the same determinants of behavior.


footspacer.jpg footspacer.jpg footspacer.jpg footspacer.jpg footspacer.jpg


©Copyright 2009, The Deal, LLC. All rights reserved. Please send all technical questions, comments or concerns to the Webmaster.