New York Community Bancorp talks as though it has turned a corner. A day after the embattled regional bank received a $1bn lifeline from a consortium of big name investors led by former US Treasury secretary Steven Mnuchin, management spoke of the “beginning of a new chapter” and building a “fortress balance sheet”.

Such ebullient proclamations look premature. The deal is great for the new investors, highly dilutive for existing shareholders and will provide some temporary relief to NYCB’s capital needs after its acquisition of Signature Bank pushed its assets above the $100bn regulatory threshold. But the issue of NYCB’s concentrated loan exposure to rent regulated properties remains. Further capital raises and asset disposals cannot be ruled out.

Under the terms of the deal, NYCB is selling common and convertible preferred shares to the new investors at a 38 per cent discount to its closing price on Tuesday. The jump in NYCB’s share price since Wednesday’s announcement means the group has already made a paper profit of more than $1bn on its initial $1.05bn investment, according to Lex calculations. The new investors have also essentially bought 40 per cent of NYCB at a third of the company’s book value.