Investment banker here, I work for a top-tier bank (won't say which one) as an adviser on a M&A team...

Investment banker here, I work for a top-tier bank (won't say which one) as an adviser on a M&A team. I recently found out I am likely going to be let go after this deal I am working on goes through. We are bound by NDAs and aren't supposed to disclose client info, but this company we are representing (a certain US publicly traded insurance and financial firm) is pending acquisition and the deal is soon to get regulatory approval from the Chinese regulators and it is due to be announced early in March. Despite some claims and silly ass lawsuits, the deal is moving forward and the Chinese are reportedly going to throw a shit ton more cash on the deal to ensure a timely close. I am considering leaking the info to fuck my soon-to-be former employer and drive the stock price up through the roof. Your thoughts?

TL;DR: should I release non-public information about my firms client to drive up the stock price and fuck my employer?

Other urls found in this thread:

google.co.nz/search?biw=1920&bih=974&q=NYSE:GNW&oq=NYSE:GNW&gs_l=serp.12...0.0.0.1328.0.0.0.0.0.0.0.0..0.0....0...1c..64.serp..0.0.0.Cs0OIf-fD3s
reuters.com/article/us-genworth-fincl-china-oceanwide-idUSKCN12O04Z
bloomberg.com/news/articles/2016-10-23/china-oceanwide-agrees-to-buy-genworth-for-2-7-billion-in-cash
investor.genworth.com/investors/news-releases/archive/archive/2016/China-Oceanwide-To-Acquire-Genworth-Financial/default.aspx
seekingalpha.com/news/3237662-wells-fargo-china-oceanwide-likely-cut-genworth-offer-3_43-share
sec.gov/Archives/edgar/data/1276520/000119312517017271/d267031ddefm14a.htm#toc267031_8
twitter.com/SFWRedditVideos

nah

No you shouldn't do that. Instead of thinking of the best bullshit strategies in being unprofessional, you should be thinking about how you can use this and your past work to pivot.

You sound like a genuine piece of shit to me; maybe they realized your shitty character traits before this deal came to fruition.

Post it here for like 5 minutes, then delete it.

OP here, forgot to mention that the acquisition price is going to be almost $2 more than the previously discussed price (which is still a 1.50 premium to where it is trading now). If the info were leaked, it would drive the stock up to around $7/ah and would cause reputational and financial damage to my employer.

post it here. help your Veeky Forums bros. general public will not know or pick up on it.

AIG?

Sounds great. Now get back to your shitty consulting job making $60k/yr and leave the moral judgement for someone else.

Not AIG, this is a smaller company. Ran into liquidity issues recently (despite having a ton of cash on book) recently - hence eagerness to sell out. Not a bad stock, actual value is still .80 higher than current stock price

You've mistaken my views of your professionalism with that of moral views.

Which type of insurance? Property and casualty or life and health? Which sub industry would it be classified in?

Its a bad idea to fuck over former employers but you should still post the name of the firm

Life insurance primarily; has around a ~2B market cap

Totally would, but I could get outed pretty easy. It's a pretty large and very well known firm, but there are only about two dozen of us on this deal.

Is releasing nonpublic information treated the same as trading on nonpublic information in the eyes of US law? As in, is it a crime to release that information as long as you don't attempt to profit from it?

Well then why are you even asking about spilling the beans to the public if you're worried about being outed? This is just a stupid message board, and nobody really goes to Veeky Forums that much.

Because the person who posted this is roleplaying.

Is there a proposed buyout on the table that is public?

Does the company also have a mortgage subsidiary? (that is doing poorly I might add)

Yes and yes.

I would assume the buyout is public and the reason that OP won't state the firm's name is that he already stated:
>I am likely going to be let go after this deal I am working on goes through.
Pay special attention to:
>likely
>deal I am working on goes through
OP is basing his future job security on the a decision that management has yet to make that is independent of the deal going through, which he has stated is basically a sure thing as he has worded his statement.

Thx user, I found it.

We'll see what happens with this one, interesting company. Looks like the executives are living in a swamp, poor management.

So which is it and what is the proposed price per share for the acquisition?

Thanks user
I think I found it too.
Interesting stuff

Nevermind I found it, but any idea what's the premium they're gonna pay?

If this is true you're a fucking moron.

you should release a bullet into your brain for thinking this way

how'd you find it? what are you using to filter through the companies?

Just post the name in /rgt/ as a frogposter and no one will take it seriously.

If you lack the critical reading skills to figure out what to Google then you don't deserve it. Screenshottied this idiocy so I can check back in a few months.

Found it.

Honestly OP you gave away a bit too much, but the company and the story around it is vague enough that I think nobody will give a shit when it comes to a Veeky Forums post.

I'll throw $500 on it tomorrow morning just cause. Like you said, the company seems to be a decent buy as it is.

I'll do some more research and maybe check back.

There is an update 2 days ago on seeking alpha about it. Probably just a troll going off that.

ok, you got better things to worry about?

Is likely total bullshit but you never know. Technical look decent too (assuming i'm looking at the right stock)

I wouldn't because, reasons.

Just use the information to profit personally.

G_W?

...

...

thread should be deleted mods

holy shit

I feel like I witnessed history here

I should add that Lazard offices are at 30 rock, so skullfucked to the 49th st subway station is actually only like a block and a half. No biggie OP

Illuminati confirmed c u on the Nazi moon base

Ok well that confirms the company then. OP can you update us tomorrow on what goes down at work?

some guy roleplays as a lazard investment banker every fucking month


stop taking the bait

It's happened before on /rgt/, not too long ago with MYOS. A couple of people did buy into it and made alot of money from an anonymous leak over the weekend.

looks like bait however might still have a run lol. Will update tomorrow morning with my explanation of this whole shitshow going all nice into the weekend

What stock is it

I believe it's Genworth Financial

>google.co.nz/search?biw=1920&bih=974&q=NYSE:GNW&oq=NYSE:GNW&gs_l=serp.12...0.0.0.1328.0.0.0.0.0.0.0.0..0.0....0...1c..64.serp..0.0.0.Cs0OIf-fD3s

Referring to this: reuters.com/article/us-genworth-fincl-china-oceanwide-idUSKCN12O04Z

I could be wrong though, I'm not a fucking pro at this shit...

delet

Hypothetically if you do leak the information and the stock prices rise, how is this a bad thing at all?? can someone please explain

Thats what I came up with too. Will post more details later this morning.

>fucks over employer. possibly costing them millions of dollars (ie Goldman/Citi?)
>sends out don't hire message to basically all future employers
>goes against nda(non disclosure agreement) leading to a possible lawsuit
>sec investigation (probably would turn up empty)
Idk user you tell me

Not if you have any commen sense.

If u really wanna be a felon get some friends and family to buy in. Take out a mortgage and invest through a buddy.

Have fun in jail

Actual /intern/ at an IB here.
Nah this dude is just roleplaying, you can all go home.

Why are you on Veeky Forums and not working on that pitchbook. Fire drill motherfucker fire drill

Don't listen to the faggots in the thread. If you have are sure you won`t get caught just do it. It's not like you'll be really harming people.

put $80 bucks in the slot and pulling the handle.

yeah, i might. i wish there was some way to know if this guy was a LARPer or legit tho.

even if he lies it's still going to be good for a pump and bump i'm gonna put a stop loss on for half what i paid. Also i do gamble so $80 is kind chump change.

The stock is undervalued regardless. Capital is absolutely fleeing China and its currency, and the regulators are puppy dogs on solvent corporations. The US regs would equally love to see all that money flow in, and this shit was practically pre-approved montgs ago.
Worst case scenario, the deal is mildly delayed by frivolous suits and you have to hold it through Q2.

Hey randoms! As promised here's what I could find:
• Based on the above we can make a logical guess that the stock is likely Genworth Financial (NYSE: GNW) which sells basically sells mortgage and life insurance
• Here is some basic stuff online
○ The stock is currently being bought by China Oceanwide Holdings Group Co (or basically billionaire Lu Zhiqiang) for $5.43 a share
○ The acquisition is completed through (Asia) Pacific Global Capital Co
§ Goldman and Lazzard are acting as financial advisors to Genworth
○ On February 22, 2017, the Company sent a letter to certain beneficial owners of the Company’s common stock in respect of the special meeting of stockholders of the Company to be held on March 7, 2017
• Some quick financials not mentioned already (Edgar filings)
○ Looking at the 10q you can see that their mortgages have gotten more risky in recent years
• Some quick technicals (see image)
○ Looks like a possible breakout
○ Seems to definitely want to push up to at least the high $4 mark (maybe like 4.80ish)
• Quick notes
○ This is likely just a role-play however there have been cases where there has been legitimate leaks on Veeky Forums
○ Stock isn't actually that bad by itself fundamentally and technically (seems to be undervalued as of now)
○ With that said I'm not a huge fan of mortgage insurance companies
These are just theories/ideas it's up to you what you decide to do

So how will that work exactly. When China Oceanwide Holdings Group Co buys it at 5.43 a share, does that mean they will get my share at that price?

If I still own the share, when would be a good time to sell it? Right after the buyout?

Sorry for the N00b questions.

You are a faggot. Let people do their own research instead of spoon feeding it. People like you are the problem.

Confirmed real. Our whole floor was talking about this this morning. This guy David was the likely leak and was shit canned this morning. Not sure if this is related, but our team lead mentioned something about this board, lol.

Correction, former "investment banker". See ya in the unemployment line, dipshit!

thanks everyone.

>The stock is currently being bought by China Oceanwide Holdings Group Co (or basically billionaire Lu Zhiqiang) for $5.43 a share
Why is it still trading around $4 with this deal out in the open? Is it not expected to close at this price for some reason?

I believe as there are costs of the merger. I believe only majority voting right shareholders get that price. Most others get it lower but Idk

it aint in the open senpai thats the leak

bloomberg.com/news/articles/2016-10-23/china-oceanwide-agrees-to-buy-genworth-for-2-7-billion-in-cash
From October.

antisocial fagget

There's been massive fear mongering about the Chinese backing out or reducing their offer. No basis, just the usual game of whispers you get when Chinese money is involved.

Also, all of the reports are that the deal will happen mid-year, but Mr. Greenmail here seems to be saying the Chinese are throwing money at it to get it pushed through on their end immediately after the shareholders' vote.

>Confirmed real. Our whole floor was talking about this this morning. This guy David was the likely leak and was shit canned this morning. Not sure if this is related, but our team lead mentioned something about this board, lol.
Nice role playing user
Level 10 shit post

>drive up the stock price and fuck my employer?
Maybe this is a stupid question, but how does driving up the stock price fuck your employer? Aren't M&A advisory fees usually a percentage of the total deal value? The deal value doesn't change even if it gets leaked and there is a price run up.

because this is role playing lol

>The deal value doesn't change even if it gets leaked and there is a price run up.
what

Is it one of these?

It doesn't. If a deal price is leaked and the deal seems likely to happen, the stock price will go up to close to the acquisition price per share. This does not affect the deal value. The deal will still happen at the agreed upon price. The M&A advisor's fee will still be the same. The only thing I can think of is the client might be upset that the deal information leaked and if they trace it back to their banker, they might fire them, but I don't know if they'd do that this far into a deal.

And what happens if shareholders react to that price action by demanding a higher premium? Shareholders who are already actively suing the company for lowballing the deal?

> don't help people

you gonna burn mate

proof?

Well, the shareholders have the right to approve or reject the deal either way and by the time it comes to a shareholder vote, they deal price is known. Just because the deal value was leaked early and the market reacted accordingly shouldn't change whether a shareholder thinks it is a fair price or not. And there is shareholder dissent in pretty much every deal, so I don't see how that is a factor.

The proxy is already out. OP is talking about leaking that the regulatory approval timeline was accelerated.

>being this mad

Okay, but how would that information leaking affect the deal price/fuck over his employer? All I can see happening is that the stock price run up would happen earlier than if the information was released in March.

I just put $800 in this. On the scale from 0 to OP, how fucked am I?

What is risk arbitrage opportunity, there are hedge funds that are specialized in this. Literally every pending M&A deal has a sizable price gap. As the deal closes so does the price gap.

this isn't news...
investor.genworth.com/investors/news-releases/archive/archive/2016/China-Oceanwide-To-Acquire-Genworth-Financial/default.aspx
op could you respond to or otherwise tell us how your firm's commission (not sure if Goldman or Lazard) in the deal is structured?

I'm aware of merger arbitrage strategies, but a 35% price gap seems high to me. I don't track this kind of thing though, so is that normal for a deal that is subject to Chinese regulatory approval?

seekingalpha.com/news/3237662-wells-fargo-china-oceanwide-likely-cut-genworth-offer-3_43-share

That makes sense. Thanks.

Unless you have inside info (i.e. probability of deal approval) how do you determine that price gap is too high?

Likely not very. The stock is technically sound for a upwards move. Idk though

Getting in. Think I found it. Chances of strong movement anytime next week? Can't buy until then.
Just to confirm if this is it, here's the 5 day.

i mean, yea that's the one we're talking about mhm

I didn't read the whole thread
How's the timeframe?

Well, I guess I'm looking at this as the market not being confident that the deal is going to go through at this price, because if it seemed likely, there wouldn't be this chance to make a quick 30%+ return. This article helps explain the reason for the large gap.

Wow u mean the ticker that has posted on the board for like 8 hours

Maybe OP is dumb enough to think the SEC will go after the bank instead of him?
Honestly, I'm from RVA and this company has been a shitshow for a few years. Their LTC biz is radioactive. Proof that the other party has no intention of walking away would be worth trading on.

sec.gov/Archives/edgar/data/1276520/000119312517017271/d267031ddefm14a.htm#toc267031_8
genworth shareholder votes on 3/7/17
(what's rva) i like how reports have to address the fuckery of their long term care explicitly haha

well i wouldnt bc they may get contacted by your future employer to ask about your work ethic. is it possible that you were just doing shitty work?