Late last year, reports surfaced that managers at Janus Capital Group
were mulling a buyout of the Denver-based fund firm. Now, the latest word is that the plan has been shelved, with the firm's soaring stock price serving as the culprit.
The Wall Street Journal
reported Monday morning that the plan, which came to light last fall, has gone kaput, citing an anonymous source.
Janus shares, which rose over 50 percent since October, trade at 29 times the firm's projected per-share earnings for 2006, according to figures from Thomson Financial.
That makes the stock roughly a third higher than the average money-management stock and nearly twice the price/earnings multiple of the average stock in the Standard & Poor's 500-stock index.
On Friday, shares of Janus closed on the New York Stock Exchange at two percent below their 52-week high. Shares ended at $22.27, down a penny.
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