Société Générale Seeks To Raise $8B in Capital
By Associated Press | February 12, 2008
PARIS — French bank Société Générale SA hopes to raise nearly $8 billion in fresh capital through a heavily discounted rights issue launched yesterday, designed to fill a gap in funds blamed on a massive trading scandal. France's second largest bank said it will offer new shares to existing shareholders at $68.94 — nearly a 40% discount to Société Générale's Friday closing share price of $112.80. Société Générale said it needed to "strengthen the company's equity" after alleging one of its traders made massive unauthorized bets on European futures markets.
