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After the market closed, U.S. Bancorp stockholders received one share of Piper Jaffray common stock for every 100 shares of U.S. Bancorp common stock. The special dividend was paid to shareholders of record as of 5 p.m. EST Dec. 22.

"It allows us to be a focused securities firm," as opposed to being a small part of a larger company, Andrew Duff, chairman and chief executive of Piper Jaffray, said in an interview with Dow Jones Newswires. Piper Jaffray accounted for about 1% of U.S. Bancorp's net income.

Duff said he believes the investment bank and brokerage will be more competitive now that it has a currency to offer employees. "We intend to have it be part of everyone's annual compensation and to build ownership over time," he said.

The crosstown merger between Piper Jaffray and U.S. Bancorp, both of Minneapolis, occurred at a time when commercial banks were snapping up investment banks, which had previously been off-limits to them. The deal was seen as pricey at the time it was announced in 1998 for $730 million in cash, or $37.25 a share, or four times book value.

The partners later decided they would do better on their own and announced a spin-off in February. Duff said Piper Jaffray intends to remain independent and will do much of its growth organically.