Christmas Stock picks: Vp 22/12/2011
Benefits of past investment will benefit Vp, suggests Les Copeland
Cazenove goes west
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.
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