Credit Suisse First Boston
|Credit Suisse First Boston (CSFB)|
|Founded||1988 - rebranded 2006|
|Key People||Credit Suisse Group CEO Brady W. Dougan was CSFB's last CEO|
Credit Suisse First Boston (CSFB) was a high-flying tech-boom brokerage and financer in the late 1990s that was brought low some years later by a federal investigation into its initial public offering (IPO) practices. The CSFB business was eventually folded into Credit Suisse Investment Banking (CSIB) and its brand retired in 2006. Template:Infobox Midpage Need Sponsor
CSFB had its roots in a co-operation agreement between Zurich-based retail bank Credit Suisse and Boston-based securities broker First Boston Corporation forged in 1978. CS gained a controlling stake in FB a decade later and renamed the new brokerage Credit Suisse FB. CSFB prospered during the 1990s Internet boom and in mid-2000 paid a staggering $11.5 billion for rival brokerage Donaldson Lufkin & Jenrette (DLJ), pricing DLJ shares at three times book value.
CSFB's problems began soon after, in early 2001, when lead technology banker Frank Quattrone became the subject of a federal investigation into the way CSFB allocated IPO shares. In January 2002 CSFB settled with the U.S. Securities and Exchange Commission (SEC) for $100 million over complaints brought by the SEC stemming from the probe, and ended further SEC probes in 2003 at a cost of another $200 million.
- Credit Suisse Group. Workazoo.com.
- This date in deal history: CSFB buys DLJ. TheDeal.com.
- Credit Suisse First Boston Company Profile. LawyerShop.com.
- SEC sues CSFB for IPO violations; CSFB will pay $100 million. Securities & Exchange Commission.