Saturday, Apr 11, 2009

Why would a strong bank do this?

BBC: Barclays' painful deal

Barclays says that it has sold iShares for £3bn.
But it's not a sale in the sense that most of us would recognise. Because it has lent the buyer £2.1bn of the purchase price.

Posted by devo @ 11:47 PM (688 views) Add Comment

3 Comments

1. devo said...

The women will eventually put down their magazines, switch off the tv and calmly mop up the boys' mess.

Sunday, April 12, 2009 12:11AM Report Comment
 

2. Johnny5thumbs said...

<<< Why would a strong bank do this? >>>

Well, gosh, to ... er ... make themselves even stronger. Even more stronger than when they flogged 30% of themselves to an arab sheikh at a fixed rate of 13.5% or similar with a poison 'non-nationalisation' pill thrown in for good measure.

Actually, wish I'd bought a few shares 3 weeks ago when they were 1/3 of the price. It's quite hard to spot the bottom sometimes. hehe

Sunday, April 12, 2009 12:25AM Report Comment
 

3. d'oh said...

Why would a bank do this? Look at what happened with HSBC and their headquarters. It's a covered short. They get the money...iShares drops in value. Then, when the new owners get into difficulty and don't keep up with the payments. Barclays repossess iShares. Kerching! Bonuses and Bolly all around!

Sunday, April 12, 2009 08:05AM Report Comment
 

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