Troubled mortgage financier Hypo Real Estate Holding AG Saturday said its supervisory board and the German government agreed on a further capital boost by the government aimed to achieve sufficient recapitalization of Hypo RE, with the government taking an initial 8.7% stake. in Hypo RE.

The government will take the stake through its SoFFin financial-markets-stabilization fund, Hypo RE said, after a meeting of its supervisory board in Frankfurt Saturday.

Wall Street Journal