Metro Bank Rejects Takeover Approaches, Seeks Debt Restructuring and Equity Injection
Metro Bank, a British lender, has reportedly rejected a series of takeover approaches from specialist business lender Shawbrook. However, Metro Bank has held talks with bondholders about an equity injection alongside a debt restructuring. The proposal includes extending the maturity of outstanding senior debt and converting subordinated debt into equity. Shareholders would need to inject new equity to avoid dilution. The bank is aiming to thrash out a refinancing package totaling over £500 million ($611.90 million). Metro Bank's shares plunged earlier in the week, prompting discussions with shareholders to strengthen its capital levels.