Source: FT.com

Lehman Brothers on Wednesday confirmed plans to spin off the majority of its commercial real estate assets and sell a majority stake in its asset management unit as the beleaguered Wall Street bank reported a $3.9bn net loss for the third quarter of the year.

Lehman, which has seen its share price plummet in recent days amid growing concerns about the bank’s financial position, did not provide any concrete updates about its efforts to attract outside investors. However, the bank said it remained “committed to examining all strategic alternatives to maximize shareholder value.”

Its share price in New York, which plunged 45 per cent the day before, opened 14 per cent higher at $8.94 on Wednesday following the news. The Dow Jones industrial average was up 0.23 per cent at 11,256.38.

European markets remained lower, with the Euronext 300 banking sector index down 1.8 per cent.

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