Bill would tax ‘carried interest’

Hedge fund and private-equity fund managers who receive a “carried interest” as compensation would be taxed at ordinary…

Hedge fund and private-equity fund managers who receive a “carried interest” as compensation would be taxed at ordinary income tax rates instead of lower capital gains rates under legislation introduced Friday by 14 House Democrats, including Ways and Means Committee Chairman Charles Rangel, D-N.Y., and Financial Services Committee Chairman Barney Frank, D-Mass.

Borsa said to give nod to LSE bid
Italy’s main stock exchange, Borsa Italiana in Milan, reportedly has approved a $2 billion merger offer from the London Stock Exchange.
The LSE’s offer trumped NYSE Euronext Inc.’s reported $2 billion bid.

Lone Star offloads stake in Korean bank
Lone Star Funds has raised $1.28 billion by selling a 13.6% stake in Korea Exchange Bank to a group of institutional investors, according to published reports.
Hana Financial Group Inc. of Seoul, South Korea, bought shares in the block sale by Lone Star, according to an Associated Press report.
The Dallas-based private-equity fund said that it actively is looking to sell its remaining 51% of Seoul-based KEB to a strategic investor, as it wants to get out of an investment that has been a source for legal troubles for more than a year, according to a MarketWatch report.

Bear Stearns rescues hedge fund
The Bear Stearns Cos. Inc. of New York will contribute up to $3.2 billion to buttress one of its struggling hedge funds.
The High-Grade Structured Credit Fund will use the money to replace secured financing, reduce creditors’ leverage and improve liquidity.

Global M&A deals hit $2.5 trillion in first half
The value of global mergers-and-acquisitions deals surged an estimated 53% to $2.5 trillion in the first half of the year, according to Thomson Financial of New York.
In the United States, meanwhile, strategic mergers and acquisitions surged 169% to $1.04 trillion.