Citigroup on Wednesday introduced a form of “poison pill” that discourages investors from buying more than 5% of its shares and deters large shareholders from raising their stakes, in an attempt to protect a $43bn tax benefit. The move came as Citi launched its long-awaited $58bn conversion of preferred shares into common stock which will leave the US government with a 34% stake and help the bank bolster its battered balance sheet.

This entry was posted by Gwen Robinson on Thursday, June 11th, 2009 at 4:56 and is filed under Capital markets. Tagged with citi. Edit this entry.