Co-Op Bank Agrees $898 Million Capital Plan With Investors
- Junior bondholders raise 443 million pounds in debt-swap deal
- Sale of 250 million pounds in new shares led by bondholders
Co-Operative Bank Plc Branches As Bank Starts Sale Process
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Co-Operative Bank Plc reached agreement with investors on a 700 million-pound ($898 million) recapitalization plan, enabling the U.K. lender to avoid being broken up by regulators.
The deal will involve a debt-for-equity swap for junior bondholders to raise 443 million pounds, while 250 million pounds of new shares will be sold, the Manchester, England-based bank said in a statement on Wednesday. The bank will split its pension program from the Co-Op Group supermarket chain, its former parent.