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Lehman mulls fund arm sell-off
19.08.08
Investment bank Lehman Brothers is looking at offloading its fund management arm, with private-equity groups among potential buyers.
Lehman, on the hunt for new capital, could raise
$8 billion (£4.28 billion) from the sale. Reports say the bank has released detailed information about the investment management business, which centres on Neuberger Berman.
Lehman bought Neuberger in 2003 for $3.1 billion. Private-equity firms Blackstone, Carlyle, KKR, Apollo Management, Hellman & Friedman and General Atlantic are said to be on the circulation list.
Lehman says interested parties could bid for all or part of the business but would prefer them to make an offer for the whole, according to reports.
Lehman, the fourth-largest US investment bank, has raised $12 billion of capital this year to strengthen its balance sheet. It has also sold assets and shaken up top management.
