Raleigh NC| Wells Fargo to Acquire Wachovia
Wells Fargo Offers Significantly More for Wachovia
Today, in a stunning move, Wachovia announced its intentions of being acquired by Wells Fargo & Co. for approximately $15.1 billion in a stock-for-stock transaction. The proposed plan still requires approval by the Fed and several other agencies but is expected to be approved and completed by years end.
The deal, announced just this morning, trumps the previous offer by Citigroup of just $2.1 billion. The Wells Fargo deal (if approved) has extremely positive implications for the state of North Carolina and specifically those employed by Wachovia. Wachovia President and CEO, Robert Steel, announced that the offer allows Wachovia to remain in Charlotte saying, “The deal enables us to keep Wachovia intact and preserve the value of an integrated company, without government support.”
In the proposed sale, Charlotte will remain as the headquarters for the commercial and corporate banking business units. Wells Fargo is valuing Wachovia at approximately $7 per share, almost an 80% premium over yesterdays closing price. Additionally, Wells Fargo will not require any government assistance. The new deal is a victory for the city of Charlotte and the state of North Carolina. Assuming approval, most of the jobs at Wachovia will be secure.
Do you need a public relations firm in Raleigh? In the Triangle? MMI Associates is a full-service public relations firm in Raleigh. Visit the MMI Associates website for more information. Any questions? Please give me, Patty, a call at 919-233-6600.
Related Links
