Citi Sees Companies Racing to Raise Cash as Debt Ceiling Nears
- Corporate America wants to get stock issuance done before June
- ‘Going to see companies rushing to issue’: Abramhizadeh
The Capitol building in Washington, DC.
Photographer: Eric Lee/BloombergThis article is for subscribers only.
A surge in stock offerings could be coming to a market that badly needs it as Corporate America hustles to raise cash while the banking crisis appears to be somewhat under control and before the US debt ceiling deadline hits as soon as early June.
“You are going to see companies rushing to issue in the public market,” said Paul Abrahimzadeh, co-head of equity capital markets in North America at Citigroup Inc. He expects to see firms seeking to raise additional capital through follow-on equity offerings or convertible bond deals.