The 4 Gang - M&G, Legal & General, Standard Life and Insight resolve B & B problems and TPG fuck off back to Texas - July 4th something to celebrate
As forecast here last Friday (Friday, June 27, 2008 Bradford & Bingley - falling to the bottom feeders and union bashers ) TPG have retreated (collecting US4 Mn. as you pass go thank you very much ) .
The heroes of the hour, the “gang of four” large shareholders – M&G, Legal & General, Standard Life and Insight have evidently strong armed the pusillanimous FSA , scared shitless at the prospect of another line of depositors snaking across TV screens.
The 4 Gang have a lot to do...clearing out this current senior tier of wankers first, selling of some of the crap assets, more write downs (new brooms sweeping clean) and declaring nasty Q2 losses.
Well done all round to the 4 Gang.
However with the re-rating B&B shares have slumped below the Rights price of 55p and have just recovered a little to 56.1. Banking stocks slipped: HBOS.L , the UK's biggest mortgage lender, have lost 2.0% to 275, Royal Bank of Scotland (LSE: RBS -) fell 1.9 per cent to 210.75 and Barclays LSE: BARC.L has been hit 3% to 283p.
It is quite evident that simply nobody believes the balance sheet valuations.... or the prospect of continuing dividends for some time to come.
UPDATE B & B closed at 50p ... something rotten in the State of Denmark. Market cap of £300Mn. ?
UPDATE : Saturday 5th .. How soon before the depositors queues start snaking round the streets of Yorkshire? ..and Alliance and leicester dropped 36.25 pence to a new low of 255.50 (12.43% lower) and the biggest daily fall since September 2007 - on 5th June they were 416.50p a 40% decline.