FDIC Issues Guidance on Policy Statement for Investments in Failed Banks
Yesterday the FDIC reissued a Q&A providing guidance on significant interpretation issues that have arisen with respect to the September 2009 Policy Statement on Qualifications for Failed Bank Acquisitions. (An earlier version of the Q&A had been posted on December 11 and then withdrawn on December 14.) The issues relate to two types of transactions that have occurred since the issuance of the Policy Statement: an existing bank raising significant amounts of new capital in order to bid for a failed bank, and a “blind pool” investment fund raising capital in Rule 144A or similar offerings in order to bid for failed banks.