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Flowers rejects Berlin’s offer for HRE
FT Alphaville — JC Flowers and the German government are heading for a potential clash after the US buyout firm rejected Berlin’s offer to buy shares in Hypo Real Estate. The response moves the German government closer to a controversial expropriation of JC Flowers’ holdings in the property lender, which Berlin is determined to take into full state control. The bank is being propped up with more than €100bn of state-backed refinancing guarantees. JC Flowers said most of the investors it represents - with more than 14% of HRE’s shares - would reject Berlin’s current tender offer of €1.39 a ...

Guest Post: HRE - defusing the German financial time bomb
naked capitalism — ... web of actors in our financial system is so intricate and the imprudent lenders so large that governments are loathe to allow them to simply collapse. The demise of Lehman Brothers has sent a signal that this raises a very real spectre of Financial Armageddon. Come May 5th, a large part of this problem will be solved for the Germans. The only German non-state bank left with massive exposure is Commerzbank, and its day is coming too. Sources JC Flowers rejects Berlin’s offer for HRE - FT.com HRE: Die erste Enteignung in ...