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The Co-op Bank puts itself up for sale
The Co-op Bank puts itself up for sale
This is a duplicate of the Blog Entry made on: 13th February 2017 19:31
This is a duplicate of the Blog Entry made on: 13th February 2017 19:31
The Co-op Bank says it is putting itself up for sale and is inviting offers to buy all of its shares.
The bank, 20% owned by the Co-operative Group, almost collapsed in 2013, and was bailed out by US hedge funds. The bank has four million customers and is well known for its ethical standpoint, which it says makes it "a strong franchise with significant potential" when it comes to a sale. It has not been able to strengthen its finances because of low interest rates. A spokesman for the Bank of England's Prudential Regulation Authority said it welcomed the action announced today by the Co-operative Bank. "We will continue to assess the bank's progress in building greater financial resilience over the coming months," it added. From among potential buyers, the TSB has told the BBC that although it is focused on completing the separation of their IT systems from Lloyds, it would be interested if the price was right.
Black hole
The Co-operative Bank merged with the Britannia building society in 2009. The deal was later held responsible for the near collapse of the bank. In 2013, the bank revealed a £1.5bn black hole in its accounts, which led to its rescue. Bank chairman Paul Flowers also stepped down over concerns about expenses in 2013, before pleading guilty to drug possession the following year. And in January 2016 the Bank of England banned two former Co-operative Bank executives - former chief executive Barry Tootell and former managing director Keith Alderson - from holding senior banking positions....Source
The bank, 20% owned by the Co-operative Group, almost collapsed in 2013, and was bailed out by US hedge funds. The bank has four million customers and is well known for its ethical standpoint, which it says makes it "a strong franchise with significant potential" when it comes to a sale. It has not been able to strengthen its finances because of low interest rates. A spokesman for the Bank of England's Prudential Regulation Authority said it welcomed the action announced today by the Co-operative Bank. "We will continue to assess the bank's progress in building greater financial resilience over the coming months," it added. From among potential buyers, the TSB has told the BBC that although it is focused on completing the separation of their IT systems from Lloyds, it would be interested if the price was right.
Black hole
The Co-operative Bank merged with the Britannia building society in 2009. The deal was later held responsible for the near collapse of the bank. In 2013, the bank revealed a £1.5bn black hole in its accounts, which led to its rescue. Bank chairman Paul Flowers also stepped down over concerns about expenses in 2013, before pleading guilty to drug possession the following year. And in January 2016 the Bank of England banned two former Co-operative Bank executives - former chief executive Barry Tootell and former managing director Keith Alderson - from holding senior banking positions....Source