So it’s 3:30 AM EST on a Sunday morning. Everyone just got back from the bars, their drunk-dialing phones have been put to rest, and their Facebook accounts are officially locked after too many incorrect password attempts. What better time to announce the 2nd (after Bear) biggest financial deal of the year?!
Looks like the Lehman Brothers deal, which everyone has been fretting over this week, has come to an assumed conclusion. According to DealBreaker’s most recent late night post, the latest rumor is that the firm will be split up into a ‘good bank’ and a ‘bad bank’. And everyone’s favorite Sam the Eagle look-alike, Lehman CEO Dick Fuld, will be required to step down.
Bank of America, along with a little help from Barclay’s and Nomura will take the majority of ‘the good stuff’ from this deal. Good thing for taxpayers — you’re off the hook, no government backing (can we have that in writing?).
The deal is getting pushed through pretty quickly because the rumor is that if a deal-less Lehman sees the opening of Asian Markets on Monday morning, it till be a catastrophic end for the embattled company.
Again, this is all the latest hear-say and conjecture. Who knows if any of this will hold up by the time we get back to work on Monday? Anyone else following this mess? Keep us from getting lonely in the comments section.
Update: Dick Fuld isn’t happy about getting sacked (who would be?), he wants to renegotiate the deal.
DealBreaker: We Have Reached A Deal For Lehman, Sources Say, September 14, 2008
Washington Post: Major Financial Player Maps Out Lehman Options, September 14, 2008