RBS deadline looms
(14 May 2010 – UK) National Australia Bank is reportedly to conduct due diligence over the next few weeks for the Royal Bank of Scotland, as a mid-June deadline is set for final bids.
The Australian Newspaper citied a source with knowledge on the situation, saying that the due diligence is set to take place over the next two to three weeks, with Spain’s Banco Santander and National Australia Bank in the process.
According to the sources Spain’s Banco Bilbao Vizcaya Argentaris has also placed a bid for the bank’s 318 branches up for sale, however it has been speculated that the Spanish bank is only using the bid as a way to collect information on the British banking market.
Other firm’s who have placed bids, said to be between ₤1.5 billion and ₤2 billion (A$3.5 billion), for the branches include the UK charity Welcome Trust, Virgin Money and Blackstone Group.
A deal is for the 318 branches, which boast ₤23 billion in assets and over 6000 employees, and is expected to close by the end of the year with the actual transfer of the operations taking place in 2011.
Royal Bank of Scotland was ordered by the government to cut shares in some of its segments, after receiving the largest state bail-out during the global financial crisis, in an effort to ensure that the bank isn’t at a competitive advantage over its peers that stayed independent.
According to the sources Spain’s Banco Bilbao Vizcaya Argentaris has also placed a bid for the bank’s 318 branches up for sale, however it has been speculated that the Spanish bank is only using the bid as a way to collect information on the British banking market.
Other firm’s who have placed bids, said to be between ₤1.5 billion and ₤2 billion (A$3.5 billion), for the branches include the UK charity Welcome Trust, Virgin Money and Blackstone Group.
A deal is for the 318 branches, which boast ₤23 billion in assets and over 6000 employees, and is expected to close by the end of the year with the actual transfer of the operations taking place in 2011.
Royal Bank of Scotland was ordered by the government to cut shares in some of its segments, after receiving the largest state bail-out during the global financial crisis, in an effort to ensure that the bank isn’t at a competitive advantage over its peers that stayed independent.
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