Price/Volume Surge: CIT GROUP (CIT)

Posted in General 
November 4th, 2008

CIT Group Inc. (NYSE: CIT) is seeing its shares surge as one the top percentage gainers today after the company announced that it has completed a $500 million financing facility.

The credit facility is via Wells Fargo & Co. and it will give CIT access for up to $500 million in secured financing.  This is not an unconditional credit line as you have seen in the past.  The borrowings under this new facility are subject to eligibility, which including Wells Fargo’s approval of all funds used as collateral.

CIT will use its new credit facility this quarter to finance new loans and to finance and refinance existing term and revolving loans the comapny has.

The stock is surging on the news by almost 25% to $5.60 afetr ten minutes of trading.  Its 52-week trading range is $2.65 to $32.25.

We have also seen over 3 million shares trade hands, and the average daily volume is 11 million shares.

Jon C. Ogg
November 4, 2008

One comment


  1. Credit Crunch » Price/Volume Surge: CIT GROUP (CIT) Said:

    [...] Credit Repair|Debt Free Living wrote an interesting post today onHere’s a quick excerpt CIT Group Inc. (NYSE: CIT) is seeing its shares surge as one the top percentage gainers today after the company announced that it has completed a $500 million financing facility. The credit facility is via Wells Fargo & Co. and it will give CIT access for up to $500 million in secured financing.  This is not an unconditional credit line as you have seen in the past.  The borrowings under this new facility are subject to eligibility, which including Wells Fargo’s approval of all funds used [...]

    on November 4th, 2008 at 9:08 am
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