Bank of China looking at HBOS bid

[Legal Beagles]

Chinese banking giant Bank of China is looking at a potential bid for UK lender HBOS, BBC business editor Robert Peston reports.

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[natweststaffmember]

Re: Bank of China looking at HBOS bid

This is a very strange story because another well known Scottish Bank have got a seat on the board of Bank Of China. RBS Group have a 5% stake in Bank Of China and Stephen Hester has already stated he would review all aspects of the business. In December 2008 the tied in bit of the investment comes to an end and so technically RBS Group could sell that stake and raise money(as they want to get rid of HMT as soon as, cos the shares do not look that good with NO DIVIDEND payable while HMT have a steak in the business). It would make sense that Bank Of China would make a bid and there would be no conflict of interests if that were to happen. Interesting stuff from Robert Preston.