No_Such_Reality_IHB
New member
Okay everybody, looks like Citi and Wells are buffing up for a bout over Wachovia. <a href="http://news.yahoo.com/s/ap/20081005/ap_on_bi_ge/wells_fargo_wachovia_70">Citi: Judge blocks Wells on Wachovia</a>
My question is how exactly from a legal standpoint do there strip and burn marriages work?
This is the second deal where the FDIC structured a buy out of tasty bits and picked up the junk without, or pending, actual receivership. However, until actual receivership, aren't any and all merger deals subject to shareholder approval on both sides?
To me, the FDIC dealings are the scariest thing for a shareholder in the financial dealings, you have the risk of going BK but you also have the risk of the FDIC arranging a sweetheart deal and forcing your BK before you can structure a real deal.
My question is how exactly from a legal standpoint do there strip and burn marriages work?
This is the second deal where the FDIC structured a buy out of tasty bits and picked up the junk without, or pending, actual receivership. However, until actual receivership, aren't any and all merger deals subject to shareholder approval on both sides?
To me, the FDIC dealings are the scariest thing for a shareholder in the financial dealings, you have the risk of going BK but you also have the risk of the FDIC arranging a sweetheart deal and forcing your BK before you can structure a real deal.