Stifel back in the hunt for Morgan Keegan, say sources

Stifel back in the hunt for Morgan Keegan, say sources
DEC 11, 2011
Regions Financial Corp. resumed talks to sell its Morgan Keegan unit to Stifel Financial Corp. after private-equity firms lowered their bids for the brokerage, said two people with knowledge of the matter. Regions began negotiations again with St. Louis-based Stifel in recent days, the people said, speaking on the condition of anonymity because the discussions are private. Evelyn Mitchell, a spokeswoman for Regions, declined to comment. A spokeswoman for Stifel didn't immediately return a call seeking comment. The news comes just days after sources indicated that buyout firms circling Morgan Keegan brokerage unit had lowered bids by at least $200 million after financing markets deteriorated and MF Global Holdings Ltd. filed for bankruptcy Thomas H. Lee Partners LP and Jeffrey Greenberg's Aquiline Capital Partners LLC submitted the highest offer at about $750 million, the people said, asking not to be named because the talks are private. The group topped a joint bid from Carlyle Group LP and Blackstone Group LP (BX), according to the people, who said previous offers valued the unit at more than $1 billion. The sources said talks between Regions and the PE firms could fall apart as Regions was pushing both groups to raise their price. Regions, based in Birmingham, Alabama, has been planning to use proceeds from the sale to boost capital and pay back a $3.5 billion U.S. bailout. Regions has indicated it plans to collect a $250 million dividend from Morgan Keegan prior to any sale, increasing proceeds from the business, the people said. --Bloomberg News--

Latest News

RIA dealmaking accelerates as three firms hit AUM milestones
RIA dealmaking accelerates as three firms hit AUM milestones

Wealth Consulting Group, Coastline and Maridea report fresh capital, acquisitions and asset growth as advisor M&A keeps climbing

VastAdvisor closes $1 million SAFE round from advisor-side backers
VastAdvisor closes $1 million SAFE round from advisor-side backers

Carson Group's Dani Fava, Jason Pereira of Woodgate Financial, and Sally George of Convergency Partners led the raise as the growth-tech startup builds out its AI platform and leadership bench.

Wells Fargo adds three advisor practices as recruiting rebound continues
Wells Fargo adds three advisor practices as recruiting rebound continues

New teams from William Blair, Ameriprise and UBS bring more than $560 million in combined client assets to the firm's employee and independent channels.

UBS will pay advisors 'handsomely' for banking starting next year
UBS will pay advisors 'handsomely' for banking starting next year

Regulators this year approved UBS Bank USA’s conversion to a nationally chartered bank.

SEC accuses Tricolor executives of hiding $800 million collateral hole
SEC accuses Tricolor executives of hiding $800 million collateral hole

How a subprime lender’s car-loan bonds allegedly unraveled before bankruptcy.

SPONSORED Direct indexing webinar targets tax-loss harvesting amid market swings

Northern Trust’s Ken Lassner shows advisors how to convert volatility into after-tax portfolio gains

SPONSORED Who builds the income when the pension disappears?

Dan Biagini of American Equity says the steady decline of pensions, longer lifespans and a reset in interest rates are rewriting how advisors build retirement income