Thu, Dec 25, 2014, 8:59 PM EST - U.S. Markets closed for Christmas

Recent

% | $
Quotes you view appear here for quick access.

BB&T Corporation Message Board

  • billybobsdogg billybobsdogg Nov 1, 2011 9:05 AM Flag

    BBT buying BankAtlantic branches and assets

    NEW YORK (AP) -- BB&T Corp. is buying the 78 branches of BankAtlantic, along with its deposits and healthy loan portfolio, for about $5.4 billion.

    BB&T, based in Winston-Salem, N.C., says the deal will expand its footprint in South Florida and add to earnings immediately, minus acquisition costs.

    The agreement calls for BB&T to acquire $2.1 billion in loans and roughly $3.3 billion in deposits, for a premium of about $301 million, or 9 percent of deposits. The exact premium will be based on deposits at closing, but will not be higher than $316 million.

    BB&T is not buying BankAtlantic's non-performing assets, typically loans that are past due and considered in danger of default.

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • I'm shocked BBT not down more. Buying Bank Atlantic and normally pps would go down 50+cents. DOW down 200+ and BBT down 60 cents, looks good to me.

    • Morningstar-

      Loan losses will consume BankAtlantic's thin capital base, forcing the bank to raise more dilutive equity.


      With the majority of its loan portfolio in Florida real estate, BankAtlantic faces severe loan losses that will heavily dent returns for shareholders.

      BankAtlantic's ownership structure makes it very difficult for outside shareholders to really have a voice in shaping the company's future.

      Loan losses will consume BankAtlantic's thin capital base, forcing the bank to raise more dilutive equity.
      With the majority of its loan portfolio in Florida real estate, BankAtlantic faces severe loan losses that will heavily dent returns for shareholders.
      BankAtlantic's ownership structure makes it very difficult for outside shareholders to really have a voice in shaping the company's future.
      We consider an investment in BankAtlantic highly risky, given the wide variety of possible outcomes, including outright failure. An alternative could be that another bank buys BankAtlantic. However, BankAtlantic's high nonperforming asset ratio could deter potential buyers, since these would have to pitch in more money to keep BankAtlantic afloat in the future. Alternatively, buyers could wait until the FDIC takes over the subsidiary bank and then purchase only the deposits and cherry-pick the assets that are worth keeping.
      Does this mean that the FDIC took over the Subsidiary bank, or, am I missing something?

 
BBT
39.11-0.13(-0.33%)Dec 24 1:03 PMEST

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.
Yahoo! Inc.
NASDAQWed, Dec 24, 2014 1:00 PM EST
Virgin America Inc.
NASDAQWed, Dec 24, 2014 1:00 PM EST
Noble Energy, Inc.
NYSEWed, Dec 24, 2014 2:48 PM EST