I think the market priced in some sort of secondary offering. BAC did raise about $1b more than originally thought, and they sold at $15/share. This is worse than the market was expecting, don't you think?
i would like to know who is buying this shit and why? or is it the fed through an elitetrader alias. stock is up like 800% and is a zombie shell. 15 billion is not dumb money.... where did it come from??
I was wondering that too. I'd love to know what dumb shit is going to take a bath on this stuff..... On a side note this news did stop me out of my puts, so bad timing on my part and i'm not one to talk. This thing's gonna crack again....BAC's got a good history of taking their failures out on the common equity holders
Maybe the deal was sweetened up for the buyer. Or maybe the governement gave the money to GS to buy BAC with. Or it could have been Buffett. He tends to get extra incentives for buying things.
I got some and yes, the deal is pretty sweet. Here's the prelim prospectus rev. www.tradeitdontdateit.com/media/Research/BankofAmerica-Prospectus_rev1203.pdf