Replies to post #609773 on Fannie Mae-No Politics (FNMA)

[action8101]

Great question. Don’t know.

[FFFacts]

How can the government raise 200B in capital market if the stock doesn’t get relisted?

There won't be a capital raise of $200 billion but even if they wanted to it's not a requirement to be "relisted" although it is helpful.

Converting their senior preferred into 80% of the common equity of the company.

You mean the warrants? Senior preferred is a different asset class.

[stockprofitter]

The smartest thing govt could do is issue a new P share and use $16 Billion of the $75 Billion they raise to buy out existing P shareholders. New P share would price at $75 ( 1B shares ) with $100 par value and a 4-5% coupon.