Lloyds chief banks on cuts to fund growth

July 1, 2011

Investors may be impressed by Lloyds boss Horta-Osorio's cost-cutting prowess. Convincing them that the bank can grow will be a harder slog.

Lloyds’ return to form will be worth the wait

February 24, 2012

The UK bank failed to say when dividends may resume, warning instead of a weak operating environment. But its restructuring is going well and the core bank earns high returns. If the UK economy recovers, the investment case is much clearer than at rival state-backed RBS.

Lloyds forced disposals inch towards quasi-auction

April 13, 2012

The race to buy 632 branches the UK bank must sell to meet state-aid rules had seemed all but won by the Co-op mutual group. Now new entrant NBNK is detailing a rival pitch. The odd nature of the two bidders may rule out a hot auction. But at least Lloyds has a choice of buyer.

Lloyds investors’ long wait may soon be over

May 2, 2012

The UK bank used the first quarter to speed up non-core disposals and nail down 2012 funding. Further mis-selling provisions, a misfiring branch sale and a miserable UK economy remain dark clouds. But if a few regulatory decisions go Lloyds’ way, it could soon restore dividends.

Smooth Lloyds sale is mixed omen for bank ECM

September 17, 2013

The sale of 6 pct of the UK bank was perfectly timed and expertly sized. But demand from U.S. funds for jumbo positions was also a factor in its success. Future equity capital markets deals from UK banks may need strong domestic retail and institutional support to do as well.

Consumers the losers in Lloyds’ escape

November 3, 2009

Lloyds Banking Group has pulled off a stunning escape. By wriggling free from the UK government's toxic asset insurance scheme it has almost certainly avoided being broken up. The bank, its shareholders, and the government can all claim to be getting a good deal. The real losers, however, are British consumers, who will pay the price for the creation of a superbank with more than a quarter of the UK market.

What ING, Erste say about capital raising

October 30, 2009

Both ING and Erste Bank have unveiled rights issues this week but neither yet has any guarantee of the price that they will get for their shares. This shows that -- despite the stock market rally and the apparently insatiable appetite for fresh bank equity -- investors are still jittery.

What if RBS and Lloyds get ING medicine?

October 28, 2009

Steely Neelie is living up to her reputation. If the EU Competition Commissioner's approach to bailed out banks in the Netherlands and Germany is any guide, the banks still negotiating should be bracing themselves.

Lloyds’ new friend, the European Commission

October 15, 2009

Lloyds Banking Group has spent the past few months battling the European Commission. Now it hopes to use the threat of Brussels to persuade investors to convert subordinated debt into equity. But investors may not be so easily frightened.

Lloyds still looks best of a bad bunch of UK banks

February 3, 2014

The past weighs on the UK lender, with charges for mis-selling up another 1.8 bln stg. Dividends will be smaller than hoped and the next stage of privatisation could be rocky. But given Lloyds’ durable strategy and market position, its premium valuation looks intact.