Wachovia Goes West - The Deal's a Natural

Thankfully, the ill-fated Wachovia-Citigroup merger has been killed before it had a chance to be born. The combination never had any chance of success.

And, thankfully, too, Wachovia has found an acquirer that will provide both its shareholders and its customers with real value - and without the help of the FDIC.

The deal is a natural. The two companies have similar business models, and their geographies complement one another well. The result will be a very solid commercial bank, with little exposure to Wall Street.

As to Citigroup, goodbye...

Comments

[Big Al45:]

Since the taxpayers will buying Wachovia's toxic crap, it's a great deal for Wells Fargo and about the best deal that WB shareholders can hope for. I guess Saint Warren agreed to let WFC buy WB after getting a guarantee that the House will pass the bailout bill.

Does anyone know the merger details? It looks like 5 shares of WB common will be exchanged for 1 share of WFC common. But what the WB preferred?

2008 Oct 03 10:12 AM

[Big Al45:]

Its too early in the morning. Note the corrections

Since the taxpayers will be buying Wachovia's toxic crap, it's a great deal for Wells Fargo and about the best deal that WB shareholders can hope for. I guess Saint Warren agreed to let WFC buy WB after getting a guarantee that the House will pass the bailout bill.

Does anyone know the merger details? It looks like 5 shares of WB common will be exchanged for 1 share of WFC common. But what about the WB preferred?

2008 Oct 03 10:14 AM

[nyka:]

Wow! Someone correcting his own copy! Good for you. Hopefully, others who use this format to express their opinions will be as diligent as you. Nothing worse to dynamite one's credibiliy than to submit text loaded with grammatical and punctuation errors.

2008 Oct 04 07:25 PM

[gmbo:]

vernon - without the help of the FDIC? come on. are you that ignorant? your're talking about a BANK! don't you think they're planning on tapping TARP? Moody's and S&P are already moving Wells downward indicating Wells is biting off more than they can chew....and then they can fall back on the FDIC. In the meantime Cit's (most recent) shareholders are paying a price. or are they not to be considered?

2008 Oct 04 09:01 PM

[MrTruth:]

So, when Citi was paying ten times less for WB they were overpaying but now that Wells is paying more it's a good deal?

Please tell me no one is paying you spout this drivel. Please.

2008 Oct 12 02:47 PM