The optics are ugly, and the critics will pounce, but what else was Victor Dodig supposed to do? Postponing the shareholder vote for his $4.9-billion acquisition of PrivateBancorp Inc. stings, but it's the smartest thing for investors.
Save for scrapping such an event altogether, delaying the vote is the ultimate sign of weakness for any acquisition. Doing so sends an implicit, but strong, message to the market: Investors just aren't having it and are likely to vote against the deal.
That Canadian Imperial Bank of Commerce and the PrivateBank, as it is known, decided Wednesday to delay their vote is especially bruising for Mr. Dodig, CIBC's chief executive officer. This takeover is his baby. Story
DAILY DEALS
Chicago-based PrivateBancorp Inc. is postponing the shareholder vote for its $4.9-billion sale to Canadian Imperial Bank of Commerce, raising questions about whether CIBC will have to sweeten its bid next year. Story
Office supplies retailer Staples Inc. said on Wednesday it would sell its controlling stake in its European business to an affiliate of private equity firm Cerberus Capital Management LP to focus on its North American operations. Story
IN CASE YOU MISSED IT
Andrew Willis: Individual bankers will sit down with their bosses this week and next to find out how big their slice of the bonus pie will be. Some will be disappointed. Story
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