WSJ Calls Bullshit On Merrill-Wachovia Deal

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Wow! Can we write about anything else? Apparently not. Yesterday was all about Bank of We Lost Your Money. Today it's all Merrill Lynch all the time this morning. MerrillBreaker.
Anyway, Merrill shares are shooting up like, uhm, Sid Vicious on a good night with Nancy. (Or should that be a bad night? Whatevs.) And what seems to be driving the buying is the speculation that Merrill could do that thing that might get Stan O'Neal fired. You know, merge with the company we used to think was pronounced "Watch Ova Ya."
But now Dangerous Dana Cimullica of Deal Journal is calling bullshit on the deal. According to Cimullica, the deal isn't happening. Why? It's over-determined!
•Wachovia top jock Ken Thompson may have chatted with Stan the Man, but he never took the issue to his own board. Hint: that means he doesn't think a deal is in the works.
•Thompson's totally worn out from merging with Golden West. Deals are hard!
•As it turns out, we still have anti-trust laws. And, apparently, people think that bringing the 15,000 strong thundering Merrill stampede together with Wachovia's 10,000 brokers might tick off people who work for the government and think they know how big a brokerage should be.
•Also, the world is heavily populated by Chinese people and Arabs! And a lot of them are rich. Way before Wachovia got in on this deal, those rich foreign types would totally be in there buying up yer sherz.
•Actually, that might be what's happeing right now! (Hey! This might mark the first time in recent memory that inexplicable market movements have been attributed to the Arabs. Michael "I banged the MTV chick" Lewis call you effin office.)

Why a Merrill-Wachovia Deal is Unlikely
[Wall Street Journal]

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