Friday, January 11, 2008
Paragon 90% discounted rights issue leads the demise of the BTL sector
"The troubled buy-to-let specialist raises £287 million through 25-for-one-rights issue as credit squeeze continues. The lender, which has become the first in the UK to resort to a hugely discounted rights issue, is offering shares to investors at a 90% per cent discount to yesterday's closing price of 102p." Yes you read it right 90% PERCENT DISCOUNT. However, shares now are trading at 64p. So, it was Paragon and not BB (yet) the real subject of yesterday's rumors. Good stuff! so we will not be bothered with the boisterous claims of a rosy BTL market by that clown of Nigel Terrington.