German public-sector lender BayernLB is repaying another tranche of state aid after striking a deal to sell the last of the toxic assets that brought it to the brink of failure in 2008. Germany's second-biggest landesbank said on Thursday it will return 1.1 billion euros ($1.4 bln) to its state owner Bavaria, leaving it with 3 billion euros to hand back by 2019.In the financial crisis, Bavaria injected 10 billion euros in capital into the lender and gave it 4.8 billion in guarantees for a 21-billion euro portfolio of complex securities that turned sour after the collapse of Lehman Brothers.The guarantee has become obsolete with the sale of a remainder of 6.5 billion euros in asset-backed securities (ABS) -- securities whose value is linked to developments in the U.S. housing market and European commercial real estate -- to international investors.Sources familiar with the transaction said Goldman Sachs , Citi, Credit Suisse, Bank of America and JP Morgan were among the buyers.
Bank of America Corporation (Bank of America) is a bank holding company, and a financial holding company. Shares of BAC traded higher by 1.13% or $0.19/share to $16.99. In the past year, the shares have traded as low as $13.80 and as high as $18.03. On average, 83226800 shares of BAC exchange hands on a given day and today's volume is recorded at 100171752.
Source
