Banking, finance, and taxes
Lehman (LEH) May Raise Cash, Dilute Shareholders
Published:
Last Updated:
Lehman (LEH) may have to raise several billion dollars. With its market cap below $13 billion, that could be painful for current holders of its common shares. According to Reuters, "Lehman Brothers Holdings Inc is expected to follow in Merrill Lynch & Co Inc’s footsteps and sell a lot of risky assets at a loss."
Lehman currently has $65 billion in mortgage-related paper.
With a share price of just over $18, bringing in another $5 billion could drive the stock closer to $10.
Douglas A. McIntyre
Get Ready To Retire (Sponsored)
Start by taking a quick retirement quiz from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes, or less.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Get started right here.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
