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Private-equity groups are looking to cash out their bank holdings given the bullish stock market and bearish outlook for banking. But few will double their money like Warburg Pincus did with its investment in Webster Financial.
May 22 -
Warburg Pincus Private Equity X, which owns just under 10% of Webster Financial, will sell its entire position in a secondary offering.
May 8 -
Webster Financial in Waterbury, Conn, said Gerald Plush, its president and chief operating officer, will step down at the end of the month.
September 23
Webster Financial (WBS) in Waterbury, Conn., reported higher third-quarter profit as commercial loan growth made up for a steep decline in mortgage-banking revenue.
The $20.6 billion-asset company earned $44.7 million in the third quarter, up less than 1% from the same period in 2012, Webster said Friday. Its earnings per share of 49 cents met the average estimate of analysts polled by Bloomberg.
Webster's net interest income rose 4%, to $150 million. Its loan portfolio grew by 6%, to $12.5 billion, led by a 14% increase in commercial and commercial real estate loans. Its net interest margin declined by 5 basis points, to 3.23%.
Webster's noninterest income fell 5%, to $46.3 million, as its mortgage pipeline dried up. Mortgage revenue fell to $665,000 from $6.5 million, but rising income from fees on loans and deposit accounts partially made up for the loss.
Webster reduced its overhead by 2%, to $120.8 million, as compensation, occupancy and technology costs ticked down.
Webster's provision for loan losses rose to $8.5 million from $5 million, and net chargeoffs dropped 19%, to $14.4 million.
Warburg Pincus
Gerald Plush, Webster's president and chief operating officer, announced last month that
