Most bank and thrift acquisitions require the purchaser to pay a price to the seller that exceeds the current market price.

The excess is often referred to as a "control premium," because it represents the value that the purchaser believes it can add by virtue of controlling target organization.

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.