Abu Dhabi Invests $7.5 Billion in Citigroup

[cruiser13]

Quote from polpolik:

the great US of A getting rescued by Arabs and the Chinese.

It's as if your drug dealer has now become richer than you and now helps you refinance your house. Now he has you by the balls and the nose.

 

[JDO_Trader]

it's a sweet deal for the Abu boys, there's no denying that... you could sell a fair few leaps against that position

 

[The Kin2]

What is the coversion rate?

If Citi stock falls to $15, and Abu Dhabi converts, will they own 10% or 4.9% of the company?

If Citi stock goes to $60, and Abu Dhabi converts, will they own 2.45 or 4.9% of the company?

 

[ntt]

Abu Dhabi is where all the cute kittens go.

 

[El OchoCinco]

Quote from The Kin2:

What is the coversion rate?

If Citi stock falls to $15, and Abu Dhabi converts, will they own 10% or 4.9% of the company?

If Citi stock goes to $60, and Abu Dhabi converts, will they own 2.45 or 4.9% of the company?

4.9% is based on number of shares outstanding and number of shares the preferreds convert to, which apparently is 4.9%. Price is not relevant with respect to % of shares.

If I have 100 shares outstanding and I give you the right to convert to 10 shares a few years from now, assuming no other issues, you still convert to 10% equity regardless of the price of the stock.

 

[indahook]

Quote from cstfx:

Any of you guys out there trading in the 80's? Same shit was being said about the Japanese and look where that got them! Buy US assets high, then sell them back later much cheaper.

As if the fed`s weak dollar policy didnt have a hidden agenda....

 

[mobilni]

Petro $ in play.

 

[daddyeaux]

I think if C stock drops, Abu Dhabi gets to renegotiate the conversion price.....

Rubin... what a chump