Morgan Stanley Is Buying E-Trade For $13 Billion, Outmaneuvers Archrival Goldman With Pivot To Retail

Tired of being outmaneuvered by its formidable longtime rival, Goldman Sachs, Morgan Stanley has epically one-upped the Vampire Squid with a deal to buy E*Trade Financial Corp. in what would be the largest takeover by major US bank since the financial crisis, and firmly stake MS’s future on managing money for retail customers.

The $13 billion takeover price offered by MS is a 30% premium to E*Trade’s Wednesday close.

Goldman pivoted toward retail a few years ago when it became a regulated retail bank and launched its “Marcus” retail-banking platform, and its even more infamous partnership with Apple for its ‘Apple credit card’, though analysts say the bank’s foray into the new business line has been rocky at times.

E*Trade shares have been halted for news.

This is a developing story…