Daily Banking Industry News
Wednesday 15th of April 2009

Banking Sectors:

By company:

By organisation:

Also see:

December 12, 2008

HBOS shareholders approve merger with Lloyds TSB

by Gill Montia

Story link: HBOS shareholders approve merger with Lloyds TSB

HBOS shareholders have voted in favour of a merger with Lloyds TSB.

The all-share deal, which was brokered by the Government in September, has already been agreed by Lloyds TSB shareholders, 95.98% of whom voted in favour of the takeover.

In the case of HBOS, investors are also enthusiastic, with a significant majority casting their votes in favour of a merger.

Hours before the vote, HBOS revealed that bad debts and write downs on assets had increased to £8 billion for the first 11 months of the year, with £3.2 billion accruing since the end of September.

In addition, the group’s impairment charge for mortgage arrears has risen more than threefold since June (to £700 million for the year so far) while bad debts on corporate loans increased to £3.3 billion.

The news prompted shares in both banks to fall sharply, by 22% for HBOS and almost 17% for Lloyds TSB.

The combined banks will operate under the Lloyds Banking Group umbrella and for the time being the Bank of Scotland and Halifax brands will be retained. However, large scale job losses are anticipated.

 

Add to Bookmarks:

ADD TO NETSCAPE     ADD TO DEL.ICIO.US     ADD TO DIGG     ADD TO FURL

ADD TO STUMBLEUPON     ADD TO YAHOO MYWEB     ADD TO GOOGLE     ADD TO SPURL


Related stories to: HBOS shareholders approve merger with Lloyds TSB

Merger Action Group loses appeal against HBOS takeover  ...

Old guard move in on HBOS / Lloyds TSB merger  ...

Lloyds TSB / HBOS deal may face counter bid  ...

Action group mounts legal challenge to Lloyds TSB / HBOS merger  ...

New Lloyds TSB / HBOS board short on HBOS executives  ...

No Comments »

No comments yet.

Leave a comment


Previous: « China and Korea agree currency swap arrangement
Next: Santander cuts 1,900 UK jobs »

Visited 1019 times, 1 so far today



Borrowing & Lending News