Let’s face it. This is a great time to own a bank — provided you aren’t saddled with old, lousy non-performing loans. Borrowing costs are virtually nil, just look at the recent rates you are receiving on your money market funds or certificates of deposit. And bank depositors are known for their inertia.
So, if a buyer of a bank can work through these loans or buy them for pennies on the dollar, they are golden. This is apparently what many private equity firms are thinking.
According to PitchBook Data, which tracks the PE world, 75 commercial banks have received investments from PE firms since the beginning of ....