MoneyGram Announces Portfolio Valuation as of November 30 and … - FOXNews- About: How Does Money Lending Interest Work
The Company would expect to recognize losses in connection with that liquidation, if it occurs, which, in light of losses recognized on the securities sold in January, 2008, are likely to be substantially higher than the losses reflected in the November 30, 2007 valuation. The securities that would be acquired by the Investors in the transaction under discussion would currently be expected to give the Investors an initial equity interest in the Company ranging from 60 to 65%, depending upon the amount of capital invested and the ultimate size of the losses realized upon the sale of certain assets within the Company’s securities portfolio. The negotiations with the Investors currently contemplate that the Investors would invest approximately $750-850 million in a convertible preferred stock of the Company and that third-party lenders would provide approximately $550-750 million in debt financing, in addition to the Company’s existing $350 million credit agreement. The securities that would be acquired by the Investors in the transaction under discussion are currently expected to give the Investors an initial equity interest in the Company ranging from 60 to 65%, depending upon the amount of capital invested and the ultimate size of the losses realized upon the sale of certain assets within the Company’s securities portfolio. Learn more
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