Bondholders challenge Co-op Bank debt-to-equity plans

More than 600 holders of Co-op Bank preference shares and subordinated bonds have asked campaigner Mark Taber, who runs the Fixed Income Investments website, to look into the bank's attempt to plug a £1.5bn capital hole. Last week, Co-op Bank announced it could plug part of the deficit by "bailing-in" bondholders - swapping their debt for a mixture of equity and new bonds issued by its parent company, Co-operative Group, before the bank is listed. About £500m of the £1.5bn needed to meet the regulator's capital safety rules could be raised this way. The investors have asked Taber t...