Fannie Mae and Freddie Mac are set to delisted from the New York Stock Exchange, paving the way for a broad over-haul of the large government-controlled US mortgage finance companies that have been hit by souring home loans.
The two companies, placed under government control in 2008 and 80% owned by US taxpayers, announced that they would be delisted because of failing to meet the minimum price guidelines.
The US administration has announced that it doesn’t plan to tackle the issue of reforming these government-sponsored entities. According to its own estimate, this task could cost taxpayers $177bn until next year at the earliest.