[lbo-talk] more on ADIA-C

Jordan Hayes jmhayes at j-o-r-d-a-n.com
Mon Nov 26 19:16:58 PST 2007



> [from the WSJ link in the earlier news alert - ADIA
> is getting convertibles yielding 11%! - what a sweet
> deal - Jordan, they gonna pay a dividend or buy back
> stock on 11% money?]

If history is any guide, that's a good deal for ADIA that will get paid back handsomely by the market -- not Citicorp. Don't forget their other angel, Prince Al-Waleed, put up $550M in the early 90s in a similar deal; those shares are worth ~$10B now. Ok, less in the last few weeks. But still.

I'm long-term bullish on Citi; this is a buying opportunity.

PREDICTION

Ok, I'll buy some calls tomorrow. Might be too late tho, now that this deal went through.

/jordan



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