Germany’s second-largest commercial property lender, Hypo Real Estate, received a $50 billion credit line from the German government and several private banks to save it from possible collapse. Hypo ran into problems when its Irish subsidiary Depfa Bank was unable to get short-term funding. The loan is to shield Hypo from the finance-market chaos. “This is a shock, there’s simply no short-term financing,” said SEB analyst Manfred Jakob in Frankfurt. (Bloomberg)
The bottom line
September 29, 2008
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