Recapitalization effect on shares

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Hi Folks,

With due regard to the posting guidelines can someone tell me what effect a recapitalization of a bank would have on the shares of that bank?

I was listening to someone on RTE last week that said that if a bank was recapitalized by the government then the shares would be more or less worthless.
Is this true ?

Thanks
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[Brendan Burgess]

Do a search - it is discussed elsewhere on Askaboutmoney

 

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Brendan,

I did do a search and cant find it.
Can you show me where it has been discussed ?

Thanks
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[Brendan Burgess]

http://www.askaboutmoney.com/showthread.php?t=95317