Capital Raising Activities of U.S. Banking Organisations

June 2009

Euromoney published an article by Partners Michael Wiseman and Mitchell Eitel titled, "Capital Raising Activities of U.S. Banking Organisations." The article discussed several strategies financial institutions have used to raise capital during the recent economic crisis. Some of these strategies include investment by sovereign wealth funds, a "wall-crossed" public equity offering and investment by private equity firms. Mr. Wiseman and Mr. Eitel suggest a possible combination of private capital raising and government investment, "because concurrent government investment could in appropriate cases give the private investor confidence that the aggregate amount of capital raised would be sufficient to address the institutional needs."