Jun
03
2008
Bradford & Bingley shareholders may revolt
Posted by: delusional in Credit Crunch, Economy, NewsThe Guardian are reporting that UK mortgage lender Bradford & Bingley may be facing a shareholder revolt over a £258m rights issue.
The bank had originally guaranteed a £300m rights issue at 82p/share but this has now been cut to 55p/share and the shareholders are, understandably unhappy. Bradford and Bingley’s shares are today trading at 68p/share.
When the UK credit crunch took hold and trouble began for Northern Rock last year, Bradford and Bingley were tipped as one of the favourites to experience similar problems in the near future.
Bradford and Bingley were bailed out to some extent over the weekend when Texas based Texas Pacific Group bought a 23% stake in the bank for £179 million.
Tags: b&b, bank crisis, bradford and bingley, credit crunch, rights issue, shareholders, shares, texas pacific group, tpg
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TPG havent bought anything yet! and can’t do until the Shareholders vote in favour at the Extraordinary General Meeting/or by proxy on 7 July 2008. If the shareholders vote down the resolutions the Board will have to get there thinking caps on wont they… or resign….because it wont happen without shareholder approval of which I am one and will be voting Against