Tuesday, March 25, 2008

jpm and bsc

so jpm ups their bid for bsc by 5x to about 10; many sources have been cited stating they originally were willing to offer 15 to 20, so i'm sure dimon's still quite pleased. so for a billion or so, jpm gets bsc; here's a rough estimate of what i think the breakup value of bsc's continuing businesses are:

prime brokerage 3 billion
merchant banking 1.3 billion
asset management 1.3 billion
high net worth brokerage 1 billion
servicing .6 billion
energy assets .5 billion

total 7.7 billion

still a wonderful deal for jpm, in my opinion.

disclosure: long jpm

No comments: