Did Board Room Connections with Visa Help JPMorgan Chase to Profit from IPO?

(NewsVisual, powered by IntellectSpace) -- Although ostensibly it was Visa Inc (NYSE: V) that was raising the money for its own company during last March 19th’s IPO, JPMorgan Chase & Co (NYSE: JPM) also made a windfall from it, earning $1.36 billion from the IPO, according to CNNMoney.com.

"JPMorgan is the largest of six principal bank stockholders of the card processor, who all reaped big bucks from the offering. The debut was so successful that Visa sold additional shares, boosting the banks’ takes," the March 21 article by CNNMoney.com reported.

CNNMoney said the other banks include the following:

Bank of America Corp (NYSE: BAC), Citigroup Inc (NYSE: C), U.S. Bancorp (NYSE: USB), and Wells Fargo & Co (NYSE: WFC).

The close board room connections between JPMorgan and Visa, however, could help to explain why the House of Morgan became the largest second-party beneficiary of Visa’s IPO.

NewsVisual created an IntellectSpace Knowledge Map that illustrates that various members of the two financial institutions Board of Directors most likely are well acquainted with one another.

For example, the Knowledge Map shows that on JPMorgan CEO/Chairman Jamie Dimon probably knows two Visa Directors, Charles W Scharf and Francisco Fernandez Carbajal, through the nonprofit organization the Financial Services Roundtable and the Harvard Business School, respectively.

Similarly, Visa Director Suzanne Johnson could know JPMorgan Director William H Gray III by virtue of the fact that they currently serve as members of the Pfizer Inc (NYSE: PFE) Board of Directors.

To see the details concerning other board-room connections, click here for an interactive and fuller version of this IntellectSpace Knowledge Map.

(Note: the information contained and presented in Knowledge Maps is public information from the Securities and Exchange Commission of the United States of America).