Home Business NewsBusiness The Co-op Bank is up for sale

The Co-op Bank is up for sale

by LLB Reporter
13th Feb 17 8:28 am

Who will buy the bank?

The Co-op bank has made the decision to put itself up for sale, its currently inviting offers to buy all of its shares.

In 2013, the bank struggled and almost collapsed, it was saved by US hedge funds. The bank is 20 per cent owned by the Co-operative Group.

The bank has a huge wealth of customers, the figure sits at four million. As well as this the firm is well known for its strong ethical values, it says this makes it “a strong franchise with significant potential” when comes to a sale.

Due to low interest rates the bank has struggled to strengthen its finances.

Dennis Holt, bank chairman, said: “Customers value the Co-operative Bank and our ethical brand is a point of difference that sets us apart in the market.”

“While our plan has been impacted by lower for longer interest rates, the costs associated with the sheer scale of the transformation and the legacy issues we faced in 2013, there is considerable potential to build the bank’s retail franchise further using the strength of the brand, its reputation for strong customer service and distinctive ethical position.”

Potential buyers include TSB, it told the BBC that although the firm is currently working on the separation of its IT systems from Lloyds, it would be interested if the price was right.

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