Overview

• The administration is preparing to sell roughly 5 percent to 15 percent of each GSE’s shares in an offering that could raise about $30 billion.
• Discussions include merging the two firms into a single ‘Great American Mortgage’ entity valued near $500 billion or pursuing separate listings to capture operational efficiencies.
• President Trump reinforced the timeline with an AI-generated Truth Social image depicting a November IPO, as FHFA and Treasury explore structures to preserve implicit government guarantees.
• Activist investor Bill Ackman, who owns over 200 million shares, urged a merger to achieve synergies, reduce oversight costs and potentially lower mortgage rates.
• Trade groups and analysts warn that current capital requirements, statutory charters and the need to protect mortgage-backed securities market liquidity will require extensive regulatory and legislative work before any year-end offering or merger can proceed.