Join +750K new investors every month who copy stock picks from billionaire's portfoliosSign Up Free

Barclays in talks to buy Metro Bank's mortgage book worth $3.74 billion - Sky News

Published 27/11/2023, 12:56
© Reuters. FILE PHOTO: A view shows signage on a branch of Barclays Bank in London, Britain, March 17, 2023.  REUTERS/Peter Nicholls/File Photo
BARC
-

(Reuters) -Britain's Barclays (LON:BARC) is in exclusive talks to buy embattled lender Metro Bank's 3 billion pound ($3.74 billion) residential mortgages portfolio, Sky News reported on Monday.

A deal is likely to be struck by the end of the year, the report added.

Both Barclays and Metro Bank declined to comment.

The report comes after Britain's best-known challenger bank announced a 325 million pound capital raise and 600 million pound debt refinancing in early October, in a bid to bolster its finances.

Metro Bank had sought to shore up its finances after a string of setbacks in recent years, including accounting errors, leadership departures and delayed regulatory approval for key capital relief.

Shareholders in the company vote Monday on the rescue plan, which would hand majority shareholder control to its biggest investor - Colombian billionaire Jaime Gilinski. The plan has won approval from bondholders, some of whom will take a 40% haircut.

Shares in Metro were trading up 9.3%.

Last month, Santander (BME:SAN)'s chief executive officer Hector Grisi had said the Spanish bank may consider looking into acquiring a mortgage portfolio from Metro.

© Reuters. FILE PHOTO: A view shows signage on a branch of Barclays Bank in London, Britain, March 17, 2023.  REUTERS/Peter Nicholls/File Photo

Separately, Barclays is exploring a potential acquisition of Tesco (LON:TSCO)'s banking operations, Reuters reported this month.

($1 = 0.8025 pounds)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.