Breaking News from CNBC's Scott Wapner: Bill Ackman Boosting Stakes in Both Fannie and Freddie
Following is the unofficial transcript of breaking news from CNBC's Scott Wapner. All references must be sourced to CNBC.
SCOTT WAPNER: HEY CARL THANK YOU SO MUCH. BILL ACKMAN IS BOOSTING HIS STAKES IN BOTH FANNIE AND FREDDIE IN THE COMMON STOCK THIS MORNING. I'VE JUST LEARNED THAT I HAVE HAD A CONVERSATION WITH HIM AND YOU KNOW THAT THERE'S THIS JOHNSON AND CRAPO PLAN ON CAPITOL HILL THAT WOULD WIND DOWN FANNIE AND FREDDIE. YOU TAKE THIS AS BILL ACKMAN BETTING THAT THE LIKELIHOOD OF THAT HAPPENING IS OBVIOUSLY DECREASING AT LEAST IN HIS MIND THAT'S WHY HE HAS INCREASED HIS STAKES IN BOTH FANNIE AND FREDDIE FROM A COMBINED 9.8% TO MORE THAN 11% OF EACH OF THESE BUSINESSES WHICH IS QUITE INTERESTING JUST GIVEN WHAT'S GONE ON DOWN ON CAPITOL HILL THAT CONVERSATION HAS HEATED UP IN RECENT WEEKS ABOUT THE FUTURE OF BOTH FANNIE AND FREDDIE. AGAIN SENATORS JOHNSON AND CRAPO WANT TO WIND DOWN THOSE ENTITIES BILL ACKMAN HAD ALREADY BEEN IN THOSE NAMES AS HAVE A NUMBER OF OTHER HEDGE FUND MANAGERS NOW ACKMAN MAYBE NOT DOUBLING DOWN BUT CERTAINLY INCREASING HIS BET THAT THE LIKELIHOOD OF THAT HAPPENING HAS DECREASED JUST A BIT. SO WE WILL KEEP AN EYE ON FANNIE AND FREDDIE TODAY AS WELL.
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