Meanwhile, a string of recent bank mergers highlighted by
$3.8 billion acquisition of
near $1 billion deal to buy
Citizens Republic Bancorp
are notable because they show a trend of financial sector consolidation may not net shareholders big takeover premiums. Both deals also came at relatively small premiums and far below share highs prior to the crisis.
For bank investors looking to catch a bid on a sector-wide consolidation, KBW highlights TPG Capital backed
(EVER - Get Report)
and Carlyle backed
as potential sellers with an outperform rating.
KBW gives market perform ratings to Wilbur Ross, Carlyle and Blackstone-backed
(BKU - Get Report)
First Republic Bank
(FRC - Get Report)
-- carved out of Bank of America in a management buyout - but highlights both banks as possible sellers over the long term.
As with West Coast Bancorp, private equity investors in BankUnited and First Republic Bank have already netted investment returns of 100%, in successful crisis-time investments. Investors trying to catch a M&A tailwind should expect much less.
For more on private equity deals, see why Goldman Sachs is cutting its private equity future
. Also see why a dividend is key to Carlyle Group's
-- Written by Antoine Gara in New York