The City's biggest investment banks forced Bradford & Bingley to slash the price of its rights issue amid fears that demand for the £300m fundraising would be so low they would be left with millions of pounds worth of shares, The Guardian reports.
UBS and Citi, the investment banks underwriting the issue, had agreed to guarantee a price of 82p six weeks ago but told B&B that 55p was more likely to be acceptable to investors.
It was also the price at which the US-based private equity firm TPG Capital - previously Texas Pacific - was prepared to pay £179m for a 23% stake in the bank, which announced on 14 May that it was planning the rights issue.
A CALL FOR global agreement on preventing manipulation of the crude oil market is to be made by John Hutton, the Business Secretary, at a meeting of G8 energy ministers in Japan this weekend, according to The Times.
Mr Hutton will propose the sharing of detailed data on oil trading, as well as oil stocks, production and consumption. The plan is designed to increase transparency in the oil market and decrease opportunities for speculation by cutting oil price volatility.
The consultation of energy ministers in Aomori is being held before a meeting of heads of state in July. Ministers from China, South Korea and India will also attend.
LEHMAN BROTHERS, set to report its first quarterly loss since going public, is considering raising billions of dollars in fresh capital to help shore up its balance sheet, according to people familiar with the matter, The Wall Street Journal reports.
The exact amount of the capital hike isn't known, but analysts and Wall Street executives estimate it is likely to be $3bn to $4bn.
They said Lehman would probably announce the capital raising in conjunction with its quarterly results, due the week of June 16.IFAonline
Two global vehicles
'Further plug advice gap'
Must appoint separate CEOs and boards
Advisers do come out well
Will report to Mark Till