Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

U.K. Hires JPMorgan to Provide Bank-Privatization Advice

U.K. Hires JPMorgan to Advise on Bank Privatization Strategy
The government owns 81 percent of RBS. Photographer: Simon Dawson/Bloomberg

The U.K. hired JPMorgan Chase & Co., whose senior advisers include former Prime Minister Tony Blair, as it accelerates efforts to reduce its stakes in Lloyds Banking Group Plc and Royal Bank of Scotland Group Plc.

“JPMorgan Cazenove will provide ad hoc input which will complement UKFI’s expertise in devising strategies for realizing value for the government’s shareholdings in the banks,” U.K. Financial Investments Ltd., the body that oversees the government’s stakes in the lenders, said in a statement today. “This appointment does not involve any commitment in relation to other roles at any other time and UKFI intends to review this appointment on a periodic basis.”

UKFI also named a panel of 11 banks including Barclays Plc and Goldman Sachs Group Inc. eligible to be selected as bookrunners in future stock offerings.

Chancellor of the Exchequer George Osborne said last month the U.K. government is “actively considering” selling shares in Lloyds. RBS’s return to private ownership is still some way off because it’s weighed down by too many poor assets, he told financiers in his Mansion House speech in London on June 19.

Lloyds shares exceed the level at which the government says it will break even on its 39 percent holding after providing a 20 billion-pound ($30 billion) rescue almost five years ago. The stock was down 1 percent at 69.34 pence by 11:26 a.m. in London, surpassing the 61 pence break-even price.

Osborne said last month the first block of government shares in Lloyds will probably be sold to institutional investors as “the most effective way of managing risk and getting value.” The government will consider an offering to individual investors at a later stage, he said.

RBS is trading at 336.8 pence, below the 407 pence the Treasury says it will break even on its 45.5 billion-pound investment in the 81 percent government-owned lender.

Following is a list of prequalified service providers:

Bookrunner Panel:
Bank of America Merrill Lynch, Barclays, Citigroup, Credit
Suisse, Deutsche Bank, Goldman Sachs, HSBC, JPMorgan, Morgan
Stanley, Nomura, UBS

Co-lead Panel:
ABN Amro, Banca IMI, BBVA, BNP Paribas, Canaccord Genuity,
Cenkos, Credit Suisse, HSBC, ING, Investec, Jefferies, KBW,
Macquarie, Nomura, Numis, Oriel Securities, Peel Hunt, RBC,
Sanford Bernstein, Santander, Societe Generale, UBS

Capital Markets Adviser Panel:
Lazard, Moelis & Co., Portman Capital, Rothschild, Solid
Solutions, STJ Advisors

Strategic Adviser, Privatization Strategy Adviser Panel:
BofA Merrill Lynch, Barclays, BNP Paribas, Citigroup, Credit
Suisse, Deutsche Bank, Goldman Sachs, HSBC, JPMorgan, Lazard,
Moelis & Co., Morgan Stanley, Nomura, Perella Weinberg, RBC,
Rothschild, Societe Generale, UBS.

Source: UKFI

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.