JPMorgan Jumps Into Greensill Fray, Hindering Apollo Talks [WSJ]
The largest U.S. bank by assets is teaming up with Taulia Inc., a technology platform that was a main source of customers to Greensill. JPMorgan would provide $3.8 billion to fund deals to the former Greensill clients on Taulia’s platform, the people said.
Other banks are expected to take part in the effort and add more funding later, the people said.
The entry of JPMorgan has complicated talks between Apollo, Greensill and its insolvency administrators, according to people familiar with the talks. An Apollo deal is now unlikely….
GE to Wind Down GE Capital After Shedding Jet-Leasing Unit [WSJ]
On Wednesday, GE agreed to combine its jet-leasing unit, GE Capital Aviation Services, with rival AerCap Holdings NV in a deal worth more than $30 billion…. [CEO Larry] Culp will use the proceeds from the AerCap deal to pay down debts and fold the rest of GE Capital into the company’s corporate operations. GE will take a $3 billion charge in the first quarter and cease to report GE Capital as a stand-alone business segment.
House readies final vote on $1.9 trillion COVID relief package [CBS News]
The bill passed a procedural vote on Tuesday by a vote of 219-210, clearing the way for a final vote that is expected Wednesday morning…. Mr. Biden would then have the measure on his desk before key unemployment programs expire March 14.
Volatility Hits the Sizzling SPAC Market [WSJ]
Tuesday’s swings highlighted the competing dynamics playing out in financial markets as the economy rebounds from shutdowns designed to halt the spread of the coronavirus. Investors for weeks sold SPACs and popular internet companies, rotating into shares of banks and energy producers they believed would fare better as the economy recovers and government-bond yields rise…. “It’s going to be more violent,” said Evan Ratner, a SPAC portfolio manager at Easterly Alternatives. Unless government-bond yields record a sustained drop, “volatility is here to stay,” he added.
Warren Says ‘Sharks’ Citadel, Robinhood Prey on Customers [Bloomberg]
“When big sharks like Citadel and Robinhood come out ahead no matter what happens, and when the information they gather isn’t disclosed, and when it’s secret how that information is used, it’s easier for these giants to skim off the top at the expense of small investors,” the Massachusetts Democrat said in a Senate Banking Committee hearing on wild market swings in shares of the gaming retailer and other stocks…. Equity markets should be about capital formation and creating long-term value for companies to grow and create jobs, Warren said, adding that the Securities and Exchange Commission must “provide transparency about these companies’ market tactics, and make sure they don’t rip off customers.”
Rep. Dan Crenshaw Decided Pandemic Was Perfect Time to Buy and Not Disclose Stocks [Daily Beast]
Rep. Dan Crenshaw (R-TX) did not buy or sell any stocks in his first 13 months as a congressman. That changed in March 2020, when he made half a dozen buys as the largest economic relief package in history was written and debated…. Crenshaw, who supported the bill, did not initially disclose the transactions, in violation of the STOCK Act, a law that requires members of Congress to tell the public when they engage in securities trades. Months later he amended his records to reflect the purchases….
Not only did Crenshaw fail to disclose the transactions at the time, he didn’t include them in his annual disclosure, filed in August. And while that filing shows that Crenshaw holds the new assets, the form also requires members to list the transactions, including the dates, which Crenshaw left blank.