The Merrill train wreck


Merrill is raising $8.5bn by issuing stock. $2.5bn of the proceeds will go Temasek, who bought stock in Merrill in December at 48 with the proviso that they get reimbursed if further stock offerings within a year are at a lower price.

They also sold toxic mortgage slop with a face value of $30.6bn for $6.7bn, or 22 cents on the dollar, to another company.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s