Aug. 11 (Bloomberg) -- Investor Michael Price said he is considering acquiring shares in banks that replenished their capital, and has found few that are worth buying.

``We're looking at refinancing banks every day of the week,'' Price, the MFP Investors LLC chief who made his name buying beaten down bank stocks, said in an interview with Bloomberg Television. ``We've passed on ten for every one we did.''

Price bought a stake in Sovereign Bancorp Inc. earlier this year. The second-largest U.S. savings and loan by assets ``is pretty well financed now with good management,'' he said.

Sovereign advanced the most in almost five months on May 22 after the billionaire value manager said he was ``long'' the stock and that the lender is ``a pretty good value.''

Price said he's wagering that Citigroup Inc., down 33 percent this year, and Wachovia Corp., down 52 percent, will keep tumbling.

``Citigroup's got more pain coming,'' Price said. ``I wouldn't own Citigroup.''

Citigroup, the third-biggest bank by market value, reported its first loss since at least 2005 last week on credit-card securitizations, signaling that risks may be growing in a business that generated $3.5 billion of revenue in the past three years. The stock added 2.2 percent to $19.82 in regular trading today.

Covered Wachovia

Price said he covered his short position on Wachovia as shares of the fourth-largest U.S. bank more than doubled from July to August, then shorted the stock again last week. In a short sale, investors borrow securities and agree to sell them at a later date, profiting from any drop in the stock.

Wachovia said after the close of U.S. exchanges that its second-quarter loss was bigger than first reported in July. The bank revised the loss to $9.11 billion, or $4.31 a share, from $8.86 billion, or $4.20 a share.

The Charlotte, North Carolina-based bank has reported $22 billion in writedowns and credit losses tied to the collapse of the U.S. subrime mortgage market since the start of 2007, according to Bloomberg data.

The stock was unchanged at $18.21 in extended trading. It rose 1.6 percent in regular trading.

Sovereign climbed 4.7 percent to $10.69 today to pare its loss this year to 6.2 percent.

To contact the reporter on this story: Jeff Kearns in New York at jkearns3@bloomberg.net. Pimm Fox in New York at pfox11@bloomberg.net

Last Updated: August 11, 2008 21:21 EDT