What is the basis for this rumor? Wells Fargo (WF) is already on the east coast, they bought Wachovia a couple years ago. Why does mayell40 think WF is a South Korean company. Who makes this stuff up? There is no "rumor" of a buyout anywhere except on this board where people just wish things would go their way.
Take-over-mania has afflicted this stock many times before, and it's doing it again. It looks to me as if First Niagara is getting the same boost. Regionals become super-regionals by buying up smaller banks in their area and then selling out to one of the money-center banks at a premium. The trouble is, it doesn't always work out well for the shareholders. For example, take a look at NorthFork BanCorp that was taken over by Capital One for a virtually zero premium. Conventional wisdom was that they should have gotten about a 20% premium. Instead, senior management gave the bank away in exchange for highly inflated salaries under new employment contracts for themselves. This one could go either way, but I don't trust the senior management of this bank. They'll enrich themselves at the expense of the shareholders and laugh all the way to the bank.
This buy out may be real. People Bank is going up for the last week even if
Dow Jones is going down considerably. WF has a cash of 34 B.
It is a South Korean Company.. Is it real they want to buy this Bank.