Northern Rock's share price is plummeting this morning after it announced weekend bids for the stricken lender were well below market value.
So far this morning Northern Rock is down 17%, to 110p.
In a statement to the stock exchange, Northern Rock says the proposals are “materially below the market price” as of the close of business on Friday.
“The value to shareholders from any of the proposals (and indeed any of the other strategic options available to the Company) remains highly uncertain and will be dependent, among other things, on when and if there is an improvement in market conditions including access to liquidity and the value created, if any, from the run off of the assets and liabilities remaining in the Company following any disposal of all or part of its business,” the statement reads.
The lender expects to receive further expressions of interest in the next few days.
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