June 28, 2017 / 10:54 AM / a month ago

BRIEF-Co-op Group comments on Co-op Bank's $900 mln rescue package

1 Min Read

June 28 (Reuters) - Co-operative Group Ltd

* Welcomes announcement from Co-operative Bank on terms of capital raising plan

* Group and trustees have also negotiated with bank a recovery plan for bank section of pace scheme

* Group confirms that it and bank agreed with pace trustees to separate sections of scheme and to remove bank's obligation

* Recovery plan for bank section of pace scheme will see bank contribute 100 mln stg over 10 years and provide initial collateral of 216 mln stg

* Group's shareholding in bank will fall from 20 pct to circa 1 pct

* Promotion of bank services to members of group, will naturally fall away and come to a formal end in 2020

* Relationship agreement between group and bank will naturally fall away and come to a formal end in 2020

* Confirms that it is supportive of plan and intends to vote in favour of capital raising Source text for Eikon: Further company coverage:

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below