B&B Rights issue.. take up the offer ?

mariegriffiths

johnbfan wrote: »

Gregm

I have retirement savings in ISAs so know they are safe but as you say its how long it will take should it all go really pear shaped, to get the money refunded.

ISAs can be transferred without losing their tax free status, although they may charge a fee for this.

equitydealer

caveat_emptor wrote: »

Stavros, you should be concerned to have over £35k savings with them. B&B is in a mess of NR proportions.

Rubbish! Bradford and Bingley is not a Northern Rock, once its fundraising is complete it will have a tier 1 capital ratio of almost 10% making it one of the best funded banks in Europe! Do your research before you start scaremongering, it's people like you who cause unnecessary panic.

I have well over £35k of my hard earned money in Bradford and Bingley and have no concerns whatsoever. It's shareholders who will lose out, not depositors.

Masomnia

True, they have secured the backing of UBS and Citibank as underwriters for the new rights issue, plus they were a better funded bank to begin with, with a different business model. It's nothing like the NR situation.

bristolleedsfan

Masomnia wrote: »

plus they were a better funded bank to begin with quote]


Funding its gained in last year/18 months ( in order for it to say that its funded into 2009) has been aquired expensively.

poppy10_2

Masomnia wrote: »

they were a better funded bank to begin with

I wouldn't believe anything they say. their chief executive issued a statement adamantly denying they were about to announce a rights issue, just a couple of weeks before they announced a rights issue.

TPG did a runner once they saw B&B's books. Moody's downgraded B&B's credit rating to just above junk status. Something spooked them. Maybe it was B&B's massive exposure to the liar loan and BTL market, whoch is tanking.

Masomnia

It isn't just them saying it. Plenty of financial analysts have categorically said that their funding is secure, and that it is a different situation to Northern Rock, which in any case hasn't led to a loss of saver's money.

Steve_xx

poppy10 wrote: »

I wouldn't believe anything they say. their chief executive issued a statement adamantly denying they were about to announce a rights issue, just a couple of weeks before they announced a rights issue.

TPG did a runner once they saw B&B's books. Moody's downgraded B&B's credit rating to just above junk status. Something spooked them. Maybe it was B&B's massive exposure to the liar loan and BTL market, whoch is tanking.

The chief executive you refer to is no longer their chief executive. The current acting chief executive is unlikely to be allowed to remain in situ, as are several other members of the current board make up.

TPG did not do "a runner" after having seen B&B books. They did the runner after Moody downgraded its credit rating.

ad44downey

Things are going to get even grimmer for B&B shareholders.


Panmure Gordon analyst Sandy Chen cut his target price for the bank to 20p, citing the "gauntlet" of "an emergency rights issue, more difficult funding conditions, and a rapidly deteriorating macro environment". B&B shares closed below the rights price at 50p, down 11p.

ad44downey

Shares down 13% today so far to only 43.5 pence. B&B is not long for this world it seems

setmefree

ad44downey wrote: »

Shares down 13% today so far to only 43.5 pence. B&B is not long for this world it seems

Couldn't agree more dropping all the time
43.00 :eek: