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GS made about 10% on this deal which is an order of magnitude more than market. This almost certainly means that either it was not shopped to other banks or th
by travisoneill1 8y ago
GS made about 10% on this deal which is an order of magnitude more than market. This almost certainly means that either it was not shopped to other banks or that the other banks wouldn't touch it with a 10 foot pole. So while it's probably true that they lied to GS it was with a wink.
- adrr 8y agoAccording to the book billion dollar whale, the average price to create an relase of government backed corporate bonds was $1 million in fees. 1mdb did 3 rounds of bonds so it should of cost $3 million. 1mdb paid $700mm.
- kenneth 8y agoSupposedly, they bought the bonds on their balance sheet before selling them because 1mdb wanted the money fast, giving them an order of magnitude more risk, hence the higher fees. Also, the average fees for a bond issuance might be $1m because most bond issuances are small. It's usually higher on a percentage basis.