Golden Mountain Financial Holdings Corp. (fka FNBCQ)

[56Chevy]

Book value isn't the problem...but its not the solution either.

Because of their accounting misfires the bank finds itself in a position that it has to raise capital (by some estimates as high as $150MM). But because of the sanctions put on by regulators their options on how to do that are extremely limited.

I read a WSJ article wherein a large investor is suggesting the company file a pre-pack BK...here is a portion of that article;

Shares of New Orleans-based First NBC Bank Holding plunged further on Tuesday after an investor who is both a holder of the firm’s debt and betting against its stock suggested the bank should consider a pre-packaged bankruptcy filing.

HoldCo Asset Management released a public letter on Tuesday morning suggesting a prepacked filing that would wipe out holders of First NBC’s common stock would be the best solution to the bank’s ongoing financial struggles. HoldCo said that its proposed bankruptcy plan, where it would also provide $30 million of new equity for the bank, would be a solution.

http://blogs.wsj.com/moneybeat/2016/10/25/first-nbc-banks-troubles-mount/

Marker:
First Nbc Bank Holdi (FNBC)
$5.45 down -1.2 (-18.05%)
Volume: 3,067,942