viewMetro Bank

Metro Bank confirms interest in P2P platform Ratesetter

The challenger bank said it has entered a period of exclusive discussions

Metro Bank -

Metro Bank PLC (LON:MTRO) has confirmed weekend reports that it is in talks to buy Retail Money market, the of owner peer-to-peer lender Ratesetter.

The challenger bank said it has entered a period of exclusive discussions, but these are at a relatively early stage.

“RateSetter is a UK focused peer-to-peer lender whose distribution platform could accelerate the company's stated strategy to grow its unsecured consumer lending book,” the group said in a statement.

Ratesetter has seen a sharp slowdown in activity since the coronavirus outbreak and began talks with its banks in March over a possible sale or merger, according to SkyNews.

Metro Bank, meanwhile, has had its own problems and has been trying to regroup under new chief executive Dan Frumkin.

The bank is the subject of a number of regulatory probes following a financial reporting scandal that required a rescue bail-out from shareholders.

P2P platforms have been under pressure recently as small businesses struggle to cope with the lockdown loss of trade and customers pull out cash.

Ratesetter told Sky News that none of its investors had lost money, but its source added that if a deal is done it would be at a ‘knockdown valuation’.

At end-April, the Ratesetter loan book was worth around £800mln, according to the reports.

Quick facts: Metro Bank

Price: 125.5 GBX

Market: LSE
Market Cap: £216.39 m

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events


The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...


Scotgold 'expected to command a significant premium in the market' says...

Mining capital's Alastair Ford explains the significance of Scotgold Resources' (LON:SGZ) first gold pour at its Cononish mine, marking a milestone to becoming Scotland’s first commercial gold and silver operation. The company is now focused on completing an accelerated expansion plan to...

11 minutes ago

2 min read