Raymond James 'may acquire Morgan Keegan'
US Brokerage Morgan Keegan could be bought out by Raymond James Financial, sources have said.
Business negotiations are in their final stages on a deal for the takeover of US brokerage Morgan Keegan.
This is according to Reuters, which spoke to people close to the matter about the possible agreement between potential buyer Raymond James Financial and Morgan Keegan's current owner Regions Financial.
Sources said the purchase of the company had not been confirmed, but if the deal goes through it could be announced this week.
Regions Financial has been looking for suitable buyers for the brokerage, which is valued at around $1.2 billion (£775.39 million), to help pay off debts it owes to the US government.
Stifel Financial, which was competing for the firm with Raymond James Financial, recently dropped its bid to under $1 billion, allowing its rival to take the lead, the insiders told the news provider.
Shares in Regions Financial closed up five per cent on the New York Stock Exchange last night.
Posted by David Gleck
Source: Reuters, January 10th