A Royal Bank of Scotland led group is likely to proceed with a conditional bid for ABN AMRO's U.S. bank LaSalle by Sunday despite a Dutch court blocking the sale process of the unit, sources familiar with the matter told Reuters.
Chests are being bared, knuckles cracked and muscles flexed. What we have here is the making of a good old fashioned punch up. In the red corner, Barclay’s bank and Bank of America, and in the blue corner, the challengers: RBS, Santander and Fortis. Although the prize, ABN Amro, ought to be neutral-- to maximize shareholder returns -- management has given the nod to Barclays.
Executives at Citigroup say activist hedge funds may step up pressure to break up the company, the Financial Times reported.
Three banks led by Royal Bank of Scotland said on Friday they were ready to make an unsolicited offer for ABN Amro. In addition the Dutch bank faces a court hearing regarding the sale of U.S. unit La Salle.
ABN Amro Holding has been called to a hearing at the Enterprise Chamber of the Amsterdam Court of Appeal tomorrow in a case brought by the Dutch shareholders' association VEB, which is demanding an investigation into the policy making process at the bank, which is the Netherlands' largest.
A trio of banks seeking to buy ABN Amro said on Thursday the Dutch bank was setting unreasonable conditions on opening its books, increasing the chance they could launch a hostile bid.
Stocks are set to move higher at the opening, with the Dow heading straight for the 13,000 mark. European shares are higher, as the rising euro closes in on its all-time high against the dollar. Overnight, Asian stocks were lower, with Tokyo stocks falling on worries about the U.S. consumer after yesterday's weak housing data and consumer confidence number. Japanese automakers' shares were dented in the selling.
Stocks closed lower as cautious comments from GM and Pfizer snapped the Dow's seven-day winning streak. "We've seen a really good move in the market and a little consolidation is healthy," said Bill Nichols, managing director of equity trading for Bear Stearns. "After being higher so much, a little profit-taking is only natural."
The Barclays executive says the deal is not "size for size sake" but about a solid portfolio of businesses and "efficiency-oriented" synergies.
Robert Diamond, president of Barclays Group, said Monday that most savings from the planned merger with ABN Amro will come from increased efficiencies – not cost- cutting.
Hey everyone, here are today's trivia questions for the extra contest "cash." The video is worth $2,000 Bonus Bucks: Amazon.com is launching a new support center in which European country? Your answers are: Italy or France or Ireland or The United Kingdom. And the news question is worth $1,000 Bonus Bucks: Barclays announced it will acquire ABN Amro in a deal worth how much? Your answers are: $91 Billion or $100 Billion or $67 Billion or $21 Billion.
Stocks closed mixed but the Dow Jones Industrial Average inched up to another record as investors awaited key quarterly reports after the bell. "You still have some pretty important earnings coming out that are going to set the tone," said Adam Tracy, director of listed trading at Thomas Weisel Partners.
ABN Amro's announcement yesterday that it will extend the exclusivity period of takeover talks with Barclays makes shareholder TCI's proposed agenda items for the bank's upcoming AGM on April 26 "even more relevant," the activist hedge fund said.
Dutch bank ABN AMRO does not plan to open its books to a trio of its European rivals who may gate-crash ABN's $85-billion-plus takeover talks with Barclays, and the consortium's interest could speed up Barclays' courtship process.
Speculation is growing that Britain's Barclays may abandon its bid for the Dutch bank ABN Amro, CNBC’s Maria Bartiromo reported. Barclays is due to finalize its bid for ABN next week, Bartiromo said, "but sources tell me there is a chance Barclays will pull out" because of "past liability concerns over past money-laundering questions."
The head of the Dutch Central Bank said regulators would not object in principle to a offer by a rival bidder for ABN Amro even if it meant the Dutch bank was broken up, the Financial Times reported on Monday.
Speculation that Bank of America could make a move on Barclays returned this week and several analysts have said Britain's third biggest bank has made itself vulnerable to being taken over if its discussions to buy ABN fail.
Britain's Barclays hired Citigroup as an advisor on its bid talks with ABN AMRO, sources familiar with the matter said on Wednesday, effectively ruling the U.S. group out of counterbidding for the Dutch lender.
New Century Financial, the troubled subprime mortgage lender, said on Wednesday it voluntarily ended its relationship with mortgage financier Freddie Mac, and that "several" of its own lenders plan to sell loans that had backed $17.4 billion of credit lines.
Stocks erased nearly all of their losses for the year after investors interpreted comments from the Federal Reserve to mean that an interest rate hike is less likely.The S&P 500 and the Nasdaq turned positive for the year, erasing all of last month's selloff, while Dow Jones Industrials is still down slightly for the year.