From Domainfax:
Commonwealth Bank chiefs have signed off on a plan to go to the market with a $5 billion capital raising on Wednesday, according to reports.
Designed to plug a potential capital shortfall of up to $10 billion brought on by tougher new banking regulations due in 2016, the plan for a rights issue was signed off by CBA chief executive Ian Narev and chairman David Turner on Tuesday night, The Australian Financial Review’s Street Talk column reported.
Under the plan, existing shareholders would be offered one new share for every 23 they already owned, the report said.
Won’t improve the share market mood today.
