Replies to post #838560 on Fannie Mae-No Politics (FNMA)

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The plans being discussed by some administration officials could value the companies at roughly $500 billion or more combined and involve selling between 5% and 15% of their stock, some of the people said. Still up for debate is whether the mortgage giants would IPO as one company or two separate entities.

https://www.wsj.com/finance/regulation/trump-aiming-to-ipo-fannie-mae-and-freddie-mac-later-this-year-13b138cf?st=HgQFCd&reflink=desktopwebshare_permalink

Only 5-15%? Dilution? It would seem the plan is to raise outstanding share count while still permitting attrition in pps for current SH's through increased demand from the investing public. Sounds like a win-win scenario for all involved. Dilution, yes, but increased demand will counteract and overtake. With IPO (Gov share sale) strike price of $50, poof, there's your $30B. Trump has our backs!

The Trump administration is preparing to sell stock in mortgage giants Fannie Mae FNMA 20.45%increase; green up pointing triangle and Freddie Mac FMCC 20.91%increase; green up pointing triangle in an offering it believes could raise around $30 billion and kick off later this year, according to people familiar with the matter.