24th Sep 2019 09:59
(Alliance News) - Metro Bank PLC on Tuesday confirmed it has postponed a debt issue due to "current market conditions".
The challenger bank said a "broad number" of investors showed interest in a maiden MREL issuance, which it needs to complete to meet EU rules. MREL stands for minimum requirement for own funds and eligible liabilities and relates to EU solvency legislation.
On Monday, the Financial Times had reported Metro Bank had been forced to withdraw a GBP200 million to GBP250 million bond offering, after only received orders for GBP175 million.
The latest blow comes after UK regulators spotted an error in the bank's loan book, though Metro Bank had originally said it found the problem itself.
Shares were down 13% on Tuesday morning at 237.40 pence each, having slumped 92% in the past 12 months. A year ago, they traded at over 3,000p.
By George Collard; [email protected]
Copyright 2019 Alliance News Limited. All Rights Reserved.
Related Shares:
Metro Bank