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NBNK To Return Cash To Shareholders After Failing To Buy Retail Bank

11th Apr 2016 11:39

LONDON (Alliance News) - NBNK Investments PLC on Monday said it will return money to shareholders and potentially wind up the company, after talks failed to produce an acquisition.

NBNK said "negotiations with potential targets have not produced an acquisition proposition capable of being recommended to shareholders for approval."

The company had GBP19.8 million in cash at the end of June 2015, according to its interim report issued last August.

NBNK was originally established to acquire retail banking assets. It tried to acquire the so-called Project Verde portfolio of 600 retail branches that went on to form TSB Banking Group. However, NBNK lost out to the Co-operative Group, which itself ended up pulling out of the deal amid financial difficulties.

Lloyds Banking Group PLC went on to divest TSB via an initial public offering in London and completed its exit in 2015 by accepting a takeover offer for the banking network from Spain's Banco de Sabadell SA.

By Samuel Agini; [email protected]; @samuelagini

Copyright 2016 Alliance News Limited. All Rights Reserved.


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