Financial stocks were broadly lower Tuesday, with the NYSE
Financial Sector Index sinking about 1.1% and the S&P Financial
100 Index falling 0.9%.
In company news, First Midwest Banc (
) shares were narrowly higher Tuesday after the bank holding
company announced a deal to acquire Great Lakes Financial Resources
) for $58 million in cash and stock.
The transaction calls on FMBI to pay $112.50 in cash and up to
$175 in shares of its stock - or $287.50 overall - for each GLFL
share, although the exact number of shares will be determined by
FMBI's volume-weighted share price during the 10 trading before the
deal closes. The deal also is contingent on regulatory and GLFL
FMBI shares were up nearly 1.0% at $17.60 apiece in mid-day
trade, or 5 cents under its session high. The stock has a 52-week
range of $14.17 to $18.49 a share, climbing slightly more than 22%
over the past 12 months.
OTC-traded GLFL shares jumped nearly 86% to $353.00 apiece,
easing slightly from its new all-time high of $358.00 a share, up
In other sector news,
(+) PHH, (+2.9%) Announces plans to buy back up to $450 mln of
its stock, redeem 9.0% senior notes due 2016, rework its mortgage
business and invest in growth initiatives using $821 mln in net
proceeds from the sale of its Fleet Management Services
(-) LTS, (-0.6%) Acquires Dalton Strategic Investment Services
Inc. for undisclosed sum. The Knightstown, Ind.-based brokerage has
about 60 advisors working in 18 states and around $950 mln in
client assets under management.
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