Deals
U.S. Banks May Buy European Lenders as Soon as 2018, Serra Says
- Need for post-Brexit base may encourage JPMorgan to acquire
- Algebris manager, Bini Smaghi see regulators relenting on M&A
Algebris CEO Sees 10-Year Period to Fix Italian Banks
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Big U.S. banks have built a huge advantage over their European rivals since the 2008 financial crisis and are now positioned to buy some of the continent’s smaller lenders, possibly as early as next year, Algebris Investments founder Davide Serra said.
Europe is vulnerable to U.S. banks because it doesn’t have enough large lenders to cover the region’s financing needs, Serra, whose hedge fund focuses on the financial sector, said Tuesday in an interview with Bloomberg Television’s Francine Lacqua and Tom Keene. The U.K.’s decision to leave the European Union also creates an incentive for U.S. banks currently doing business from London to bulk up elsewhere in Europe, he said.