- ArcelorMittal Sees Gradual Upturn After Quarterly Loss
- Honda Posts Surprise Quarterly Profit, Raises Forecast
- Biggest IPO This Year Surges in Shanghai Debut
- Nomura Posts First Profit in 6 Quarters, Tops Forecasts
- Car Bomb Injures 49 at Spanish Police Barracks
- CFTC Seen Clamping Down on Energy Speculation
- Beyond Earnings: Five Things Investors Will Be Watching
- Foreign Demand at 2-Year Treasury Auction Disappoints
- Caruso-Cabrera: How I Qualified for a MHA Refi
- Administration Takes Loan Servicers to Task
- Signs of Hope in California Housing
- Assessing Swimwear Ruling With Speedo's Craig Brommers
- GE Shares Could Double in 3 Years: Analyst
- Pros Say: Recession Won't Have a Second Dip
- Corporation or Personality Cult?
- Sponsor Strategy On Vick: Stay Quiet
- Silver Safer Than Gold, Natural Gas: Commodity Exec
- Paying Overtime to Cover Furloughs
Text Size 
Bank of America's primary investment management unit is drawing lower than expected bids after its likeliest suitor, BlackRock, inked a blockbuster deal to buy Barclays Global Investor, the Financial Times reported, citing people close to the matter.
 |
Oliver Quallia |
Bank of America [BAC
Loading...
()
] has been trying to sell its Boston-based Columbia Management unit since earlier this year, but the bank has so far not announced a deal for the unit.
The company is hoping to get at least $3 billion from a sale of Columbia Management, but bids so far have come in closer to $2 billion, the paper said, citing the people.
BlackRock [BLK
Loading...
()
] was a leading candidate to buy the business, but its hands have become full since agreeing to buy BGI for $13.5 billion last month.
But buy-out firms remain interested in First Republic, a private bank that Bank of America has been trying to sell.
More From CNBC.com
- Buffett Getting Beaten by S&P As First-Half Buzzer Sounds
- StanChart in Talks on RBS China, India Units
- Soros Predicts 'Stop-Go' Economy, Higher Rates
A group led by former bank executive Gerry Ford -- which includes private equity firms Carlyle Group, Blackstone Group [BX
Loading...
()
], Oak Hill Capital Partners and TPG -- appears to have the highest degree of interest in the business, FT said, citing people close to the matter.
If sold, First Republic could be priced at about its tangible book value -- ranging from $600 million to $800 million depending on how its assets were marked and the degree to which Bank of America agreed to share losses, the paper said.
Print
Email
Data is a real-time snapshot *Data is delayed at least 15 minutes