Markets
GS

Sector Update: Financial Stocks Following Broader Markets Lower; Goldman Sachs, Bain Settle Collusion Suit

A generic image of a pen on a chart
Credit: Shutterstock photo

Top Financial Stocks

JPM +0.13%

BAC -0.14%

WFC -0.46%

C -0.48%

USB +0.28%

Financial stocks were narrowly lower this afternoon, with the NYSE Financial Sector Index sinking about 0.2% and the S&P Financial 100 Index declining about 0.2%.

In company news, The Goldman Sachs Group Inc. ( GS ) held small gains Thursday after the investment bank and Bain Capital agreed to pay a combined $121 million to settle a lawsuit alleging the country's largest private equity firms colluded to keep a lid on prices they pay for target companies.

GS will pay $67 million in the settlement while Bain is on the hook for $54 million, according to papers filed with the U.S. District Court in Boston on Wednesday. Both firms deny any wrongdoing in the settlements, which still require court approval.

At issue was whether the buyout firms, which often team up to acquire multibillion-dollar companies, had agreements to not compete with each other on certain deals.

Five private equity firms remain as active defendants in the case: Blackstone Group LP ( BX ), Carlyle Group LP ( CG ), KKR ( KKR ), Silver Lake Partners and TPG. The court last year dismissed two other firms as defendants.

The suit is set to go to trial in November.

GS shares were up 0.6% at $166.51 each in afternoon trade, just 7 cents off its session high. The stock has a 52-week range of $148.71 to $181.13 a share, rising 4.3% over the past 12 months.

In other sector news,

(-) AI, (-0.1%) Declares $0.875 per share Q2 dividend, payable July 31 to shareholders of record on June 30. The payout is unchanged over the past 12 quarters dating back to June 30, 2011.

(-) ELLO, (-6.0%) Announces $23.5 mln private placement of its unsecured non-convertible Series A debentures priced at 29 cents each (NIS 1.01) to classified investors in Israel.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

In This Story

GS KKR BX CG

Other Topics

Commodities

Latest Markets Videos