Aldermore (AIM:ALD) Group, the mid-sized consumer and business lender, has hired advisers to plot a takeover of the Co-operative Bank, according to reports.
Sky News has learnt that Aldermore (AIM:ALD) (Aldermore (AIM:ALD)), which is itself owned by South Africa's FirstRand Group, is working with investment bankers from BNP Paribas on the size and structure of an offer.
Exclusive: Aldermore Group, the South African-owned bank, has hired advisers from BNP Paribas to help it plot a bid for the Co-operative Bank, the high street lender; its interest pits it against Shawbrook, which has tabled a £3.5bn merger proposal. https://t.co/IN9FQnjIlK
— Mark Kleinman (@MarkKleinmanSky) September 19, 2023
Sky cited City sources as saying that Aldermore intended to table a bid ahead of a deadline set by the Co-operative Bank's advisers early next month.
Its interest will see it competing against Shawbrook, another medium-sized British bank, which Sky News revealed last month had approached the Co-operative Bank's advisers with a £3.5 billion merger proposal.
Other lenders cited as potential bidders, including Paragon Banking Group and OneSavings Bank - are now regarded by industry insiders as being unlikely to participate in the auction, Sky said.