Enter multiple symbols separated by commas

Stop Trading!: Clear Channel Buyer's Remorse

The banks that have failed to provide financing to the private equity firms attempting to acquire Clear Channel Communications are “on the hook” if the buyout fails, Cramer said on his Friday Stop Trading! appearance.

There is absolutely no explanation for why these banks that had approved financing for the deal in good faith are now backing away, he said. There has been no material change in the takeover agreement and it looks like the financiers are simply suffering from a case of buyer’s remorse. If and when the acquisition fails, the banks better be prepared to get sued for “contractual damages of astronomical proportions,” Cramer said.

On to the financials, Cramer voiced his aversion to the massive amount of short selling that is gripping that market. Shorts aren’t always wrong, he said, speaking as someone who made a living as a short at one time, but right now they are doing their part to help cause a panic.

Questions for Cramer? madmoney@cnbc.com

Questions, comments, suggestions for the Mad Money website? madcap@cnbc.com

Contact Mad Money

  • Showtimes

    Monday - Friday 6p ET
    Saturday 8a, 1p, 7p SYD
    Sunday 12a, 1a, 8a, 7p SYD
    New Zealand
    Saturday 10a, 3p, 9p NZ
    Sunday 2a, 3a, 10a, 9p NZ
  • Jim Cramer

    Jim Cramer is host of CNBC's "Mad Money" and co-anchor of the 9 a.m. ET hour of CNBC's "Squawk on the Street."

Mad Money Features

Mad Money Moments

Cramer's New Book