Citibank’s ‘Nationalization’: Am I missing Something?

The plan is to convert the Government’s preferred shares to common shares. The value of the Government’s preferred to common conversion is $45 billion.

At $2.50 per share (Citi closed lower than that today), that is 18 billion shares.

Citi has a current float of 5 billion shares. Are they talking about quadrupling the float of the common stock?

Oh vey. Tell me again how this is going to make the stock price go up?

Disclosure: As of publication I have no position. I am not a professional, but I am trying this at home. It is highly recommended that you consult a licensed financial advisor or broker before making any and all investment decisions.

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