On CNBC
Wells Fargo sells asset management arm to private equity firms for $2.1 billion
13 replies (most recent on top)
Whether it's 900 or 1500, I do wish them well! Sorry I don't know the exact headcount of every single group and the # of people that support them from other groups. Kind of a big company with a lot of moving parts. Either way, I really do hope that they land on their feet!
tsk tsk, its more like 1500, the ops and IT are not under him....
Post ID: @jkw+19yLDekP
err ... the org chart. 911 Total team and one dotted line.
LOL, where did you get your headcount of 912 from?
Good chance those 912 folks make much more than the average salary though. It's also good that they WFC doesn't have to invest in the business and push that money to other places.
I sincerely wish the 912 employees in the WFAM group all the best in their new home. I'm sure their new leadership will 'clean house' to cut costs, but many of them will likely continue. Either way, good luck WFAM!
As to whether this is good news for WF, we shall see. Last year people were saying the sale might go as high as $3B. $2.1B is obviously less, but the company does retain a 10% stake in the new business, so that's an asset. The sale of groups that the board considers 'non-core' is certainly one way to reduce headcount. 912 is a small portion of the tens of thousands they are talking about cutting, but it's a step in that direction. We'll see.
Let’s be honest, any individual/firm with real money to invest would not pick WFAM in their top 100 to manage their assets or their employees retirement funds
This was the right move. It is non-core and at best it’s income stream never even moved the needle for Wells’ bottom line
Not a big fan of Charlie like the kool-aid drinkers on here, but hard to knock him for this move.
Is Wells Fargo Shutting down? Sounds this way with all the sales
the company is losing the revenue, i dont see this as a win, I see it as a loss.
It is harder to build business than to make revenue with selling business units and layoffs, that is the junior way out
Sell it off piece by piece and make the shareholders money before he cashed out. Yeah, he knows what he is doing alright.
Wow Wells made out like a bandit on that deal
Old Charlie knows what he is doing
Sounds like it went cheap. Thought it was worth $3 billion.
CHA-CHING!!!