Bear Chairman Gives Up

Posted by Bull Bear Trader | 3/28/2008 12:14:00 PM | , | 0 comments »

It looks like former CEO and current Bear Stearns chairman Jimmy Cayne and his wife sold their 5.66 million share stake in Bear (for $10.84 per share). His stake was about 3.9% before JPMorgan offered a new price and got new terms (a 39.5% stake in Bear, reducing the Cayne's position to 2.4%). From the filing it appears to be a block sale. In that case, who now owns the position? Beyond making a new bid look unlikely, does this affect the sale? The previous board had indicated that it intended to vote their shares for the merger. Does JPMorgan need this 2.4%? Did the shares go to JPMorgan? The drama continues ....... and the prices still trades above $10.

Ticker: BSC, JPM

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