Tag:
dilution
Latest Headlines
Latest Headlines
Bank of America capital efforts weigh on stock
Bank of America has once again tested its post-financial crisis lows, continuing its flirtation with penny stock status.
The stock has yet to break through the $5 a share support level, but no one would be all that surprised if it did. It's unclear what is motivating Mr. Market today. It may b
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
Bank of America CEO rules out issuing shares, selling Merrill Lynch
One of the big questions about Bank of America as it faces tough sledding from an earnings perspective is whether it will be forced to issue shares or sell assets to comply with Basel III.
CEO Brian Moynihan, on a conference call Wednesday with thousands of investors and analysts, ruled out bo
Fear of Citi dilution to mount?
Mr. Market struck a dour note as it digests the on-going Citigroup's ( C ) TARP repayment plan and the bank's anemic secondary offering. We've noted that the dilution could be rather extreme, to the tune of 25 percent, depending of course on where the deal prices. So while the government seems t
Government backs off Citi share offering
Recall that as part of the plan for Citigroup ( C ) to cut its ties to the government, the Treasury Department was going to piggy-back the initial secondary offering. It hoped to sell perhaps $5 billion of its $25 billion in common stock, but the reaction to Citigroup's plan was so weak, and the
How much dilution for Citi shareholders?
Some bank shareholders seem willing to accept dilution in return for troubled banks to get out of the TARP program. Bank of America ( BAC ) shareholders haven't protested loudly about the recent share issue. It was able to raise more than it originally expected. Is it Citigroup's ( C ) turn? T
Still time to break up Citigroup?
This is what a Motley Fool analyst thinks of Citigroup: "This is a failed company taped together by a government whose sole mission is to ensure that a disaster of this magnitude never happens again. After the past 18 months, there's essentially zero chance that Citigroup will be allowed to re
Should banks rush to pay back TARP funds?
Should the likes of Goldman Sachs and others rush to pay back their TARP funds? You might think that execs were incented, now that they can only make $500,000 a year. You might also think that they would want to stop being second guessed about such things as corporate jets. But Breakingviews n
No bidders for Washington Mutual
Goldman Sachs is staging an auction, but guess what? It's doubtful anyone will show up. The competition for Washington Mutual has so far failed to attract any bidders, which is not really a surprise. Goldman had been hoping that Citigroup, JPMorgan Chase or Wells Fargo would show some interest. TP
Dividends, the best source of capital right now?
We've noted that most big banks have fewer options when it comes to capital raising. Public offerings are increasingly hard, given concerns about dilution, among other things. Outside investors have been licking their wounds as their early investments have really tanked. So that leaves asset sales
