This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Judge Gives OK to Barclays-Lehman Deal

Lehman Brothers' planned sale of its investment banking and trading businesses to Barclays has received the approval of a bankruptcy judge, according to a published media report.

U.S. Bankruptcy Judge James Peck said just after midnight Saturday that the sale could go through, according to an AP report.

The size of the deal was in flux, the report said. Although the purchase was valued at $1.75 billion earlier this week, lawyers announced changes to its terms Friday, and it now may be worth closer to $1.35 billion, according the report.

Lehman Brothers was forced to file for bankruptcy protection Monday after talks last weekend with potential buyers Barclays and Bank of America (BAC) failed to bear fruit.

Barclays then stepped in with its offer to scoop up Lehman's investment banking unit.

Judge Peck's decision came during a hearing that began at 4:30 p.m. EDT Friday and continued until well after midnight, the AP report said.

Before the hearing, Lehman's lawyers announced a number of changes to the deal's terms, the report said. For example, the value of stock and liabilities that Barclays will receive fell over the course of the week because of market movements. Now, Barclays plans to buy $47.4 billion in securities and assume $45.5 billion in liabilities, according to the report.

The report also said that Barclays now plans to buy three other Lehman businesses: Lehman Brothers Canada; Lehman Brothers Sudamerica SA, which is based in Argentina; and Lehman Brothers Uruguay SA. Barclays will not pay extra for the three additional units, the report added.

This article was written by a staff member of TheStreet.com.

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,943.81 +28.74 0.17%
S&P 500 1,967.57 +2.89 0.15%
NASDAQ 4,415.49 +19.2860 0.44%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs