Sign up today and take advantage of member-only content — the kind of timely, cutting edge industry insight that only Money Management Executive can deliver.
  • Exclusive Online Only Content
  • Free Daily Email News Alerts
  • Asset Management Blogs

Putnam Says No' to Wamu Providian Takeover Plan


Putnam Investments indicated Monday it will oppose Washington Mutual's plan to take over Providian Financial, of which it owns 7.5% of stock.

With Washington Mutual, the nation's oldest thrift, offering to pay 0.45 of its shares for each of Providian's, the deal would be worth approximately $6.5 billion, according to one estimate.

Price Command

Still, "in a consolidating industry, and in light of the recently announced Bank of America/MBNA transaction, mono-line credit card companies such as Providian represent an increasingly scarce asset that should command a higher price," Putnam said in a statement.

Putnam is set to vote on the proposed merger at an Aug. 31 meeting.

(c) 2005 Money Management Executive and SourceMedia, Inc. All Rights Reserved.

http://www.mmexecutive.com http://www.sourcemedia.com