Co-op Bank rescue deal sees hedge funds take 70% control

The deal will see the group's creditors - led by about six hedge funds - get about 70% of the bank's shares, leaving Co-op with 30%, the BBC reports. The deal will mean about 1,000 staff will lose their jobs and see 15% of branches closed but the bank's future had been secured. The rescue was prompted by the discovery of a £1.5bn hole in its balance sheet caused by bad loans and the 2009 merger with Britannia building society. The BBC said Co-op Group wants to protection the co-operative culture of the bank by writing a pledge "only to do what it sees as ethical business into the ...