Wells Fargo does $6 billion offering

Updated

Wells Fargo & Co. (WFC) today announced plans to sell $6 billion worth of common stock as it looks to shore up its balance sheet after the government stress tests.

J.P. Morgan Securities Inc. is acting with Wachovia Securities as joint bookrunning managers for the offering. Media reports indicate that San Francisco-based Wells Fargo needs to raise at least $15 billion. The offering may be a way for the bank to bolster its finances without submitting to government control. Private equity companies are expressing a growing interest in lending to cash-strapped banks.

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