8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549

FORM 8-K

CURRENT REPORT
Pursuant To Section 13 OR 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): January 9, 2007

STIFEL FINANCIAL CORP.
(Exact name of registrant as specified in its charter)

Delaware
(State of incorporation) 1-9305
(Commission File Number) 43-1273600
(IRS Employer
Identification No.)

One Financial Plaza
501 North Broadway
St. Louis, Missouri 63102-2102
(Address of principal executive offices, including zip code)

Registrant's telephone number, including area code (314) 342-2000

___________________________N/A___________________________
(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

[X] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

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Item 1.01 Entry into a Material Definitive Agreement

On January 9, 2007, Stifel Financial Corp. announced that it has entered into a definitive agreement with BankAtlantic Bancorp, Inc. to acquire its wholly owned subsidiary, Ryan Beck Holdings, Inc. ("Ryan Beck"). Through its subsidiaries, including Ryan Beck & Co., Inc., Ryan Beck provides financial advice and innovative solutions to individuals, institutions, and corporate clients through the activities of approximately 1,100 employees in 43 offices located in 14 states. The transaction is expected to close during the first quarter of 2007. A copy of the related press release is attached hereto as Exhibit 99.1.

The principal economic terms of the transaction are as follows:

• Initial consideration consisting of approximately 2,531,000 shares of Stifel common stock. At closing, Stifel may substitute an amount of cash in lieu of up to approximately 150,000 shares.

• Five-year warrants to purchase up to 500,000 shares of Stifel's common stock, at an exercise price of $36.00 per share.

• Contingent earn-out payments as follows:

• A contingent payment based on defined revenues attributable to specified individuals in Ryan Beck's existing private client division over the two-year period following closing. Assuming such individuals achieve their 2006 revenues annually during the earn-out period, the private client earn-out would approximate $20 million. This earn-out is capped at $40 million.
• A second contingent payment based on defined revenues attributable to specified individuals in Ryan Beck's existing investment banking division. The investment banking earn-out is equal to 25% of the amount of investment banking fees over $25 million for each of the next two years.
• Each of the contingent earn-out payments is payable, at Stifel's election, in cash or common stock.

The number of Stifel shares to be issued in the transaction was determined based upon Ryan Beck's November 30, 2006, net book value of approximately $91.1 million and utilizing a Stifel stock price of $36 per share (approximating the stock price during the period of negotiations).

In addition to the transaction consideration described above, Stifel has agreed to establish a retention program valued at approximately $42 million. Stifel will seek shareholder approval to increase the number of shares available under its shareholder equity plans for such retention programs, as well for the warrants described above and the earn-out consideration, in the event Stifel elects to pay that amount in shares of its common stock. In the event shareholder approval to issue the warrants is not obtained before June 30, 2007, Stifel would substitute $20 million in cash.

Stifel Financial Corp. will hold a conference call on Tuesday, January 9, 2007, at 11:00 a.m. EST. This call will be Web cast and slides can be accessed on the Investor Relations portion of the Stifel Financial Corp. website at www.stifel.com, as well as on all sites within Thomson/CCBN's Investor Distribution Network. To participate on the call, please dial 888-676-3684 and request the Stifel Financial Corp. call. A copy, of the related slides, is attached hereto as Exhibit 99.2.

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Cautionary Statement Concerning Forward-Looking Statements

Certain statements in this Form 8-K are "forward-looking statements" within the meaning of U.S. federal securities laws. Stifel intends that these statements be covered by the safe harbors created under these laws. These forward-looking statements are subject to risks, uncertainties, and other factors that could cause actual results to differ materially from future results expressed or implied by the forward-looking statements. Many of these factors and events are beyond Stifel's ability to control or predict. Given these uncertainties, readers are cautioned not to place undue reliance on the forward-looking statements, which only speak as of the date of this Form 8-K. Stifel does not undertake any obligation to release publicly any revisions to these forward-looking statements to reflect events or circumstances after the date of this Form 8-K or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws.

Item 9.01 Financial Statements and Exhibits.

(c) Exhibits

The information in this exhibit attached hereto will not be deemed to be "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934 (the "Exchange Act"), or otherwise subject to the liabilities of such section, nor will such information or exhibit be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, except as may be expressly set forth by specific reference in such filing.

Exhibit 99.1:  Press release issued on January 9, 2007.

Exhibit 99.2:  Investor Presentation.

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SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	STIFEL FINANCIAL CORP.
Date: January 9, 2007	By: /s/ Ronald J. Kruszewski
	Name: Ronald J. Kruszewski Title: President and Chief Executive Officer

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Exhibit Index

Exhibit No.	Description
99.1	Press release issued on January 9, 2007.
99.2	Investor Presentation.

Page 5

EX-99.1 2 r8k_2007ryanbeeckpr.htm PRESS RELEASE DATED JANUARY 9, 2007

STIFEL FINANCIAL CORP.
Form 8-K Dated January 9, 2007
Exhibit 99.1: Press Release

[Stifel Financial Corp. logo] Stifel Financial News

One Financial Plaza | 501 North Broadway | St. Louis, MO 63102 | (314) 342-2000

STIFEL FINANCIAL CORP. ANNOUNCES AGREEMENT TO PURCHASE
RYAN BECK FROM BANKATLANTIC BANCORP

St. Louis, Missouri, January 9, 2007 - Stifel Financial Corp. (NYSE: SF) announced today that it has entered into a definitive agreement with BankAtlantic Bancorp, Inc. (NYSE: BBX) to acquire its wholly owned subsidiary, Ryan Beck Holdings, Inc. ("Ryan Beck"). Through its subsidiaries, including Ryan Beck & Co., Inc., Ryan Beck provides financial advice and innovative solutions to individuals, institutions, and corporate clients through the activities of approximately 1,000 employees in 40 offices located in 14 states. The transaction is expected to close during the first quarter of 2007.

The principal economic terms of the transaction are as follows:

• Initial consideration consisting of approximately 2,531,000 shares of Stifel common stock. At closing, Stifel may substitute an amount of cash in lieu of up to approximately 150,000 shares.

• Five-year warrants to purchase up to 500,000 shares of Stifel's common stock, at an exercise price of $36.00 per share.

• Contingent earn-out payments as follows:

• A contingent payment based on defined revenues attributable to specified individuals in Ryan Beck's existing private client division over the two-year period following closing. Assuming such individuals achieve their 2006 revenues annually during the earn-out period, the private client earn-out would approximate $20 million. This earn-out is capped at $40 million.
• A second contingent payment based on defined revenues attributable to specified individuals in Ryan Beck's existing investment banking division. The investment banking earn-out is equal to 25% of the amount of investment banking fees over $25 million for each of the next two years.
• Each of the contingent earn-out payments is payable, at Stifel's election, in cash or common stock.

The number of Stifel shares to be issued in the transaction was determined based upon Ryan Beck's November 30, 2006, net book value of approximately $91.1 million and utilizing a Stifel stock price of $36 per share (approximating the stock price during the period of negotiations).

In addition to the transaction consideration described above, Stifel has agreed to establish a retention program valued at approximately $42 million. Stifel will seek shareholder approval to increase the number of shares available under its shareholder equity plans for such retention programs, as well for the warrants described above and the earn-out consideration, in the event Stifel elects to pay that amount in shares of its common stock. In the event shareholder approval to issue the warrants is not obtained before June 30, 2007, Stifel would substitute $20 million in cash.

"The combination of Stifel Nicolaus and Ryan Beck represents a perfect strategic fit. By adding this talented group of professionals, we meet our goal of expanding in the East and Southeast, where we began to build a presence through our successful acquisition and integration of the Legg Mason Capital Markets Group last year," commented Ronald J. Kruszewski, chairman and chief executive officer of Stifel Financial Corp. and Stifel, Nicolaus & Company, Incorporated.

Page 1

"Stifel Nicolaus is precisely the type of organization with which we were looking to partner," said Ben A. Plotkin, Ryan Beck chairman and chief executive officer. "These two well established regional broker-dealers share similar business models and culture. We are expecting the transaction to be extremely positive for our clients and producers."

The definitive merger agreement contains certain customary representations, warranties, and covenants on the part of Stifel, BankAtlantic Bancorp, and Ryan Beck, and the consummation of the transaction is subject to a number of customary closing conditions and the approval of all required governmental and other regulatory entities.

Citigroup Corporate and Investment Banking acted as exclusive financial advisor to Stifel Financial. Bryan Cave LLP acted as legal counsel to Stifel Financial.

Conference Call Information

Stifel Financial Corp. will hold a conference call January 9, 2007, at 11:00 a.m. EST. This call will be webcast and slides can be accessed on the Investor Relations portion of the Stifel Financial Corp. website at www.stifel.com, as well as on all sites within Thomson/CCBN's Investor Distribution Network. To participate on the call, please dial 888-676-3684 and request the conference ID #5728453.

About The Companies:

Stifel Nicolaus

• Founded in 1890, Stifel Nicolaus is one of the largest middle-market regional investment banks
• Approximately 1,800 employees in over 131 offices throughout the U.S. and 3 in Europe
• Corporate headquarters in St. Louis and Capital Markets headquarters in Baltimore
• Highly Regarded Private Client Group with 730 investment executives managing more than $32 billion in Client Assets
• Broad Institutional Equity and Fixed Income origination and distribution capabilities
• One of the largest domestic Equity Research franchises off Wall Street
• Extensive Investment Banking platform with broad industry coverage
• Management and employees own approximately 58% of the firm
• Fully diluted market capitalization in excess of $500 million

Ryan Beck

• Founded in 1946, now wholly owned by BankAtlantic Bancorp (NYSE: BBX)
• Corporate headquarters in Florham Park, New Jersey
• Highly regarded Private Client Group with approximately 400 financial consultants, principally in the Mid-Atlantic region, manage over $19 billion in Client Assets
• Leader in financial institutions investment banking
• Recognized capabilities in fixed income and equity research

Forward-Looking Statements
This press release contains certain forward-looking statements, including without limitation, the statements regarding the completion of the acquisition of Ryan Beck Holdings, Inc., Ryan Beck's business and financial outlook and the benefits to Stifel of the acquisition of Ryan Beck. Such statements are subject to various risks and uncertainties that could cause actual results to differ materially, including risks to the closing of the acquisition. Stifel is also subject to the risks described in its reports to the Securities and Exchange Commission. Stifel does not undertake any obligation or plan to update these forward-looking statements, even though its situation may change.

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Additional Information and Where to Find it

Stifel intends to file a definitive proxy statement and related materials concerning the issuance of warrants described above and furnish the definitive proxy statement to Stifel's shareholders. Shareholders of Stifel are advised to read the proxy statement when it is finalized and distributed, because it will contain important information. Shareholders of Stifel will be able to obtain a free-of-charge copy of the proxy statement and other relevant documents (when available) filed with the SEC from the SEC's web site at http://www.sec.gov. Shareholders of Stifel will also be able to obtain a free-of-charge copy of the proxy statement and other relevant documents (when available) by directing a request by mail to James M. Zemlyak, Stifel Financial Corp., 501 North Broadway, St. Louis, MO 63102, or by calling (800) 488-0970.

Participants in the Solicitation

Stifel and certain of its directors and officers may, under the rules of the SEC, be deemed to be "participants" in the solicitation of proxies from its shareholders in connection with the proposed warrant issuance. Information concerning the interests of the persons who may be considered "participants" in the solicitation will be set forth in Stifel's proxy statement relating to the proposed warrant issuance. Additional information concerning Stifel's directors and executive officers is set forth in Stifel's proxy statements and annual reports on Form 10-K (including any amendments thereto), previously filed with the SEC.

Stifel Information

Stifel Nicolaus provides securities brokerage, investment banking, trading, research, investment advisory, and related financial services, primarily to individual investors, professional money managers, businesses, and municipalities. Stifel Nicolaus is the largest subsidiary of Stifel Financial Corp. and is a member of SIPC and listed on the New York Stock Exchange under the symbol "SF." To learn more about Stifel, please visit the company's web site at www.stifel.com.

* * *

For further information, contact
James M. Zemlyak, Chief Financial Officer
(314) 342-2228

Page 3

EX-99.2 3 r8k_20070109exh992.htm INVESTOR PRESENTATION

Stifel Nicolaus and Ryan Beck & Co. A Powerful Combination

Forward looking statement This presentation may contain "forward-looking statements" that involve risks and uncertainties, including statements relating to the market opportunity and future business prospects of Stifel Financial Corp. and Stifel Nicolaus ("SF" or the "Company"). Actual results may differ materially and reported results should not be considered as an indication of future performance. Factors that could cause actual results to differ are included in the Company's Annual and Quarterly Reports and from time to time in other reports filed by the Company with the Securities and Exchange Commission. To supplement our financial statements presented in accordance with GAAP, management uses certain non-GAAP measures of financial performance and liquidity. These non-GAAP measures are in addition to results prepared by the Company in accordance with GAAP, and should only be considered together with the Company's GAAP results. Certain statements in the following presentation relate to future results that are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995.

Participants Stifel Nicolaus Ron Kruszewski Chairman and CEO Jim Zemlyak Chief Financial Officer Ryan Beck & Co. Ben Plotkin Chairman and CEO

Stifel Nicolaus Today Founded in 1890 Highly Regarded Private Client Group Manages $32 billion in Client Assets Broad Institutional Equity and Fixed Income origination and distribution capabilities Market-recognized fixed income expertise One of the largest domestic Equity Research franchises off Wall Street Extensive Investment Banking expertise Approximately 1,800 employees in 131 offices in US and Europe Management and employees own in excess of 60% of the firm Market capitalization of ~ $500 million

Ryan Beck Today Founded in 1946, now wholly owned by BankAtlantic Bancorp (NYSE: BBX) Over 400 financial consultants, principally in the Mid-Atlantic region, manage over $19 billion for 150,000 accounts Leader in financial institutions investment banking, with complementary client capabilities in fixed income and equity research Approximately 1000 employees in 40 offices

Why this Makes Sense Ideally matched geographic footprints with almost no overlap Establishes us as a top 12 Private Client Group brokerage Expands our geographic reach to the Mid-Atlantic Leverages capabilities of our Capital Markets business Leverages our strong research platform Leverages our technology and operations infrastructure Similar cultures and compensation philosophies Enhances tangible book value per share Enhances long term earnings potential Creates value for all Stifel stakeholders Clients Employees Shareholders BankAtlantic Bancorp

With Complementary Geographies

Strengthens our Brokerage Position 2006 Pro Forma Rankings

Creates a New Top Ten Research House US Research Marketplace (measured by US stocks under coverage)

Partnership Contributions Balanced Revenue Composition

Summary of Key Transaction Terms Structure - -Tax free acquisition of 100% of Ryan Beck from BankAtlantic Bancorp Initial Consideration - -Approximately 2,531,000 shares of Stifel common stock - -At closing Stifel may substitute an amount of cash in lieu of up to approximately 150,000 shares - -Five-year warrants to purchase 500,000 additional Stifel shares at exercise price of $36 (subject to Stifel shareholder approval) Contingent Payments - -First contingent payment based on defined revenues attributable to specified individuals in Ryan Beck's private client division during the 2 year period following closing - expected to equal $20 million if 2006 revenues are achieved during this period, and capped at $40 million - -Second contingent payment based on defined revenues attributable to specified individuals in Ryan Beck's investment banking division - equal to 25% of the amount investment banking fees exceed $25 million for each of next 2 years - -Payable in cash or Stifel stock, at Stifel's election Retention Plan - -Retention program valued at approximately $42 million Restructuring Charges - -Estimated at $12-18 million Board Representation - -BankAtlantic will have board observer status - -Ben Plotkin, CEO of Ryan Beck, will be nominated to Stifel Financial Board of Directors Expected Closing Date and Conditions - -Closing on or about February 15, 2007 - -Closing conditions: standard approvals (shareholder vote only required to issue Warrant to BankAtlantic)

Transaction Valuation Initial Consideration Common Stock (2.531 million Stifel shares at $38.09 per share) (1) $96.4 Warrant Value (500,000 Stifel shares, Black-Scholes value) (2) 7.6 Total Initial Consideration $104.0 Contingent Payment (3) $20.0 Total Value $124.0 Transaction Price Multiples

Key Takeaways 1. Adds significant capability and an attractive geographic complement to Stifel's Private Client Business 2. Provides a platform for Eastern and Southeastern expansion 3. Complementary fixed income businesses 4. Additive equity research and equity capital markets capabilities 5. Complementary Investment Banking businesses strengthening Financial Institutions and Consumer 6. Financially attractive terms 7. BankAtlantic Bancorp will own Stifel stock-a new partner

Questions and Answers

Additional Information and Where to Find it

Stifel intends to file a definitive proxy statement and related materials concerning the issuance of warrants described above and furnish the definitive proxy statement to Stifel's shareholders. Shareholders of Stifel are advised to read the proxy statement when it is finalized and distributed, because it will contain important information. Shareholders of Stifel will be able to obtain a free-of-charge copy of the proxy statement and other relevant documents (when available) filed with the SEC from the SEC's web site at http://www.sec.gov. Shareholders of Stifel will also be able to obtain a free-of-charge copy of the proxy statement and other relevant documents (when available) by directing a request by mail to James M. Zemlyak, Stifel Financial Corp., 501 North Broadway, St. Louis, MO 63102, or by calling (800) 488-0970.

Participants in the Solicitation

Stifel and certain of its directors and officers may, under the rules of the SEC, be deemed to be "participants" in the solicitation of proxies from its shareholders in connection with the proposed warrant issuance. Information concerning the interests of the persons who may be considered "participants" in the solicitation will be set forth in Stifel's proxy statement relating to the proposed warrant issuance. Additional information concerning Stifel's directors and executive officers is set forth in Stifel's proxy statements and annual reports on Form 10-K (including any amendments thereto), previously filed with the SEC.

EX-99.1

EX-99.2

Stifel Financial Corp. - 1/9/07 Investor Presentation