NEW YORK (TheStreet) -- JPMorgan Chase & Co. (JPM) has reached a long awaited deal to sell about half its stake in the portfolio of its buyout arm, One Equity Partners, sources told the Wall Street Journal.
The bank is planning to announce the sale as early as today, after agreeing to sell part of its stake to investment firms Lexington Partners LP and Carlyle Group LP’s (CG) AlpInvest Partners, sources added.
The deal values the companies JPMorgan is selling at around $2 billion, out of One Equity’s roughly $4.5 billion in investments, sources said.
JPMorgan plans to retain ownership of about half of One Equity’s nearly 30 portfolio companies, and the private equity firm will continue managing those companies, according to sources, the Journal noted.
Shares of JPMorgan are slightly higher in after-hours trading.
TheStreet Ratings team rates JPMORGAN CHASE & CO as a Buy with a ratings score of A. TheStreet Ratings Team has this to say about their recommendation:
"We rate JPMORGAN CHASE & CO (JPM) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its expanding profit margins and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had sub par growth in net income."