Sumitomo Mitsui considering potential takeover of Jefferies, FT reports

Sumitomo Mitsui Financial Group (SMFG) is exploring contingency plans for a potential takeover of Jefferies (JEF) as investor concerns pressure the bank’s share price, with a small internal team preparing in case valuations become attractive, The Financial Times’ David Keohane, Leo Lewis, and Joshua Franklin report. Any deal is not imminent and would face regulatory hurdles, cultural differences, and uncertainty over whether Jefferies’ leadership would agree to sell at a depressed price, according to people familiar with the matter. SMFG said in a statement: “Jefferies is our important partner. We decline to comment on hypothetical assumptions or rumors.” Shares of Jefferies are up over 7% in pre-market trading.