JP Morgan Chase have announced an agreement to merge with US rival Bank One for about $58bn in stock. The merged bank will become the second largest in the US with an estimated market value of about $130bn, assets of $1,100bn, and 2,300 domestic branches. In a statement, JP Morgan’s chairman and chief executive, William Harrison, said, ‘This would enable us on the consumer side to continue to participate in the consolidation process.’ According to a report in the Financial Times, JP Morgan will pay 1.32 shares for each Bank One share, valuing the Chicago-based bank’s shares at $51.77, based on a closing price of $39.22 on the day of the merger announcement. Following the announcement, Moody’s Investors Service, the ratings agency, placed all long-term ratings of JP Morgan and its subsidiaries on review for upgrade and affirmed all ratings of Bank One. Bank of America announced a $47bn purchase of FleetBoston Financial last October.
A report by broking group Marsh examines the repercussions from the administration of the South Korean company, which filed for bankruptcy protection at the end of August.
Global research by C2FO suggests that smaller businesses are less concerned with the repercussions of Brexit and the upcoming US presidential election.
A squeeze on skilled talent means it now takes an average of seven weeks to fill open permanent roles in finance in the UK according to new research from financial services recruitment firm Robert Half.
Early-stage merger and acquisition deals in Asia-Pacific show nearly 10% year-on-year growth in recent months.