Tag:
common shares
Latest Headlines
Latest Headlines
Bank of America may be forced to increase shareholder dilution
Bank of America CEO Brian Moynihan may have to eat his own words.
He has been adamant that the bank would be able to satisfy its Basel III and other capital needs without resorting to a dilutive capital raise. He has certainly been trying to remain a man of his word, selling noncore assets ag
Bank of America sheds shares of CCB
Bank of America has announced it will sell 10.4 billion common shares in China Construction Bank Corporation (CCB), virtually its entire stake, to private investors. The deal will generate nearly $3 billion in Tier 1 capital over time and an after-tax gain of approximately $1.8 billion.
The sa
Bank of America: capital looms as a huge issue
Bank of America has steadfastly maintained that it is in decent position regarding Basel III capital requirements.
CEO Brian Moynihan has further said that a large capital raise would not be necessary because the bank could raise enough capital via retained earnings and asset sales. The decisi
Bank of America exchange plans knocks stock
The news that Bank of America was planning to issue about 400 million common shares, which will be exchanged for preferred shares, did not go over all that well.
The stock tanked. CEO Brian Moynihan has consistently said that the bank did not need to issue common stock to meet its capital requ
Analyst: Mortgage losses could trigger a Bank of America capital raise
How much does Bank of America have to lose before it will be forced to issue common shares? That's a fair question right now, one that analysts are starting to ask.
Deal Journal notes the views of JMP Securities analysts, who told clients that they estimate that the bank would have to lose
Buffett invests $5 billion in Bank of America
Just as Warren Buffett rode to the rescue of Goldman Sachs at the height of the financial crisis, so too is he riding to the rescue of Bank of America.
Bank of America has announced that the sage of Omaha's Berkshire Hathaway has agreed to invest $5 billion in preferred stock that carries a so
More on the likelihood of a capital raise at Bank of America
Bank of America's capital conundrum boils down to ability to raise enough capital to satisfy looming Basel III requirements. It wants to do this without resorting to issuing additional common shares, which would spark outrage among existing shareholders, who understandably fear the dilutive earnin
Market forcing Bank of America into a capital raise?
Brian Moynihan has been loud and clear on this: Bank of America does not need a capital raise. After all, the troubled bank has a lot of non-core assets to sell, which it surely will. The list of non-core assets does not include Merrill Lynch. But will the market force Bank of America into a dras
Goldman Sachs could survive a Buffett buyback
Recall that Goldman Sachs (NYSE: GS ) is keenly interested in buying back the preferred shares it issued on very favorable terms to Warren Buffett back in September 2008. What kind of hit to the balance sheet would such a move entail? "If you take $5 billion out" Goldman's "capital levels w
Banks a dividend play right now?
Well, it would appear that the much-hoped for bump in dividends by big banks will not be materializing anytime soon; fourth quarter earnings squelched that. There may be some who are hoping that compensation cuts can fund higher dividends, but that doesn't seem likely.
There just aren't enough
