11 February 2012

Sector: Finance

Cazenove goes west

19/12/2009 Robert Tyerman

An era came to an end when Wall Street bank J.P. Morgan and its London partner of five years, blue-blooded, powerful and discreet stockbroker Cazenove, agreed the terms of a £1 billion takeover. Morgan is paying 535p a share for the half of Cazenove it does not already own in a deal that enshrines David Mayhew as Cazenove chairman, with a £19 million windfall to enjoy.

Lawyers representing the estate of collapsed US investment bank Lehman Brothers launched transatlantic proceedings of a less amicable variety by filing a suit against Barclays Capital, seeking to claw back up to £5.9 billion allegedly transferred to the UK bank in the wake of Lehman’s bankruptcy last year. More welcome was the move by Banco Santander, owner of Abbey, Alliance & Leicester and Bradford & Bingley, to offer customers who also have a mortgage with the bank accounts without penalties even if they exceed their overdraft limits.

In the insurance world, AIM-quoted run-off specialist Randall & Quilter completed the acquisition of 70 per cent of US reinsurer Goldstreet. 

Companies: Randall & Quilter Investment

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