Sunday, February 04, 2007

SVB Financial: Likely Takeover Target - Barron's - SeekingAlpha

"Summary: When Merrill Lynch & Co. Inc. (MER) announced last week its $1.8b deal to acquire First Republic Bancorp Inc. (FRC), SVB Financial Group (SIVB) shares jumped: If MER was willing to pay a 44% premium for FRC's wealthy clients, then SVB -- which has built itself a name as bankers to VCs, silicon valley companies, and wineries -- might soon be the beneficiary of similar indulgence. With a market cap of $1.6b, the company is an attractive target. Its client base would be difficult for a larger bank to replicate, and its clientele would benefit from the wide-ranging services inherent in big operations. "

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