Posts filed under “M&A”

Doug Kass’ Possible Improbables

Every year, Doug Kass creates a list of forecasts. But these are not straight predictions; the basis of Kass’ column is that these are ideas that most people think are very unlikely, which that Doug believes has a better chance of occurring than the crowd does.

Call them “Possible Improbables”

Here’s the list:

1. The Russian mafia and Russian oligarchs are found to be large investors with Madoff.

2. Housing stabilizes sooner than expected.

3. The nation’s commercial real estate markets experience only a shallow pricing downturn in the first half of 2009.

4. The U.S. economy stabilizes sooner than expected.

5. The U.S. stock market rises by close to 20% in the year’s first half.

6. A second quarter “growth scare” bursts the bubble in the government bond market.
7. Commodities markets remain subdued.

8. Capital spending disappoints further.

9. The hedge fund and fund of funds industries do not recover in 2009.

10. Mutual fund redemptions from 2008 reverse into inflows in 2009.

11. State and municipal imbalances and deficits mushroom.

12. The automakers and the UAW come to an agreement over wages.

13. The new administration replaces SEC Commissioner Cox.

14. Large merger of equals deals multiply.

15. Focus shifts for several media darlings.

16. The Internet becomes the tactical nuke of the digital age.

17. A handful of sports franchises file bankruptcy.

18. The Fox Business Network closes.

19. Old, leveraged media implode.

20. The Middle East’s infrastructure build-out is abruptly halted owing to “market conditions.”


20 Surprises for 2009
Doug Kass, 12/29/08 – 11:59 AM EST

Category: Economy, M&A, Markets

Cost of Banks

Consider that one year ago Royal Bank of Scotland paid US$100 billion for ABN Amro. That seemingly impossible amount would now buy: Citibank $22,5 billion (74% down) Morgan Stanley $10,5 billion (-72%) Goldman Sachs $21 billion (-67%) Merril Lynch $12,3 billion (-77%) Deutsche Bank $13 billion (-71%) Barclays $12,7 billion (-71%) And still leave $8…Read More

Category: Bailouts, Credit, M&A, Regulation

Warren Buffet on Charlie Rose

Here is last night’s Charlie Rose Show, with WB speaking for an hour.

Category: Credit, M&A, Markets, Video

32-Floors of Anxiety

Category: Credit, M&A

A Very Expensive Berkshire/Goldman Deal

Category: Bailouts, M&A

Berkshire to GS: “I Got $5 Billion, but Its Gonna Cost Ya”


Goldman Sachs Group Inc. will raise at least $7.5 billion from Warren Buffett’s Berkshire Hathaway Inc. and public investors in a bid to quell concerns that pushed up the Wall Street firm’s borrowing costs and hurt its stock.

Berkshire is buying $5 billion of perpetual preferred shares, New York-based Goldman said today in a statement. Goldman, which this week transformed itself from the biggest U.S. securities firm to the fourth-largest bank by assets, also plans to raise at least $2.5 billion by selling common stock in a public offering.

Goldman Chief Executive Officer Lloyd Blankfein is turning to Buffett, the billionaire investor and second-wealthiest American, to boost market confidence even though Goldman hasn’t reported a quarterly loss since it went public in 1999. The bankruptcy of Lehman Brothers Holdings Inc. and emergency sale of Merrill Lynch & Co. to Bank of America Corp. on Sept. 15 have fueled fears about firms that rely on bond markets for funding.

Category: Corporate Management, Credit, Finance, M&A, Psychology

SIPC: Lehman To Be Liquidated

Category: Corporate Management, Credit, Legal, M&A, Short Selling, Valuation

Merger Rumors, Shotgun Weddings

Category: Bailouts, Credit, M&A

My Mea Culpa on Thain

Category: Bailouts, Corporate Management, Credit, M&A, Valuation

Lehman Gets PE Bid; Friday Night Fed Meeting

Category: Bailouts, Corporate Management, Credit, M&A, Valuation