LloydsTSB and HBOS in merger talks

Delvis said:
Hm...So, just taking over them? Or merging? As that's too different thing's normally :)

Hopefully this won't change anything to my bank anyway...I only have the cheap account anyway! :p
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not really - merger/takeover not that indifferent.

2 pools become one eitherway, staff go, assests combined - normally it's becuase one company *needs* funding from the other...... merger's just tactful.
 
Burnsy2023 said:
This is a very irresponsible thing to do. NR would have still been liquid if it wasn't for people making irrational decisions and making mass withdrawls. There is absolutely no need to withdraw any money from HBOS.
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So what you are saying is due to the irresponsible actions of the bank, stick with them and ride it out despite them knowing this would happen due to their ill actions?

I feel sorry for anybody you advise.
 
Burnsy2023 said:
This is a very irresponsible thing to do. NR would have still been liquid if it wasn't for people making irrational decisions and making mass withdrawls. There is absolutely no need to withdraw any money from HBOS.
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It's their fault though. If they didn't put themselves in the position in the first place then their customers wouldn't think with their feet and 'shop' elsewhere. They only have themselves to blame.

People moan about their mobile phone providers and banks all the time but rarely do anything about it. If enough people are annoyed about it and actually do something about it they'll cripple the institution and they'll have to play nicely in future or get hit where it hurts again.
 
Burnsy2023 said:
This is a very irresponsible thing to do. NR would have still been liquid if it wasn't for people making irrational decisions and making mass withdrawls. There is absolutely no need to withdraw any money from HBOS.
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you are joking right? NRK became insolvent as counterparties wouldnt trade with them.... didnt someone even cut off their credit lines?
 
Burnsy2023 said:
This is a very irresponsible thing to do. NR would have still been liquid if it wasn't for people making irrational decisions and making mass withdrawls.
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erm I think you'll find they had a bit of a liquidity crisis before that - joe public started making withdrawals after they were pretty much ****ed already.
 
Jonny69 said:
Well this is interesting reading, I was just about to move a chunk of savings out the Halifax account. Can't afford to lose my money to a bank going down. If they are going to be foolish enough to get themselves in that position then I will punish them by withdrawing all my money :D
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This can't happen.. saving are insured i believe up to a certain value..

If everyone did this, like NR, then you would expect the bank to go bankrupt..



I managed to sneak in and buy some shares this morning.. See what happens
 
Admiral Huddy said:
This can't happen.. saving are insured i believe up to a certain value..

If everyone did this, like NR, then you would expect the bank to go bankrupt..



I managed to sneak in and buy some shares this morning.. See what happens
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I hope they are amounts you can afford to lose!
 
JimpsEd said:
Why? What has Lloyds done to you that has offended you so much you would move accounts just because they own the company you bank with?
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I quite like the Halifax - they have always been very good for me with 1 minor blip over the 15 years I've had accounts with them. A merger is bound to affect the service negatively IMO. I have accounts with Abbey as well (I know they have atrocious customer service but their online banking is very good).

I won't touch Barclays/Woolwich or Lloyds due to negative previous experiences. If anywhere, I'll probably give Nationwide a go.
 
Delvis said:
Hm...So, just taking over them? Or merging? As that's too different thing's normally :)
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The deal is looking to be a takeover of HBOS by Lloyds, the market buzz is Lloyds will be paying 200-300pence per share of HBOS.

Generally when you have a takeover between two similar companies, banks in this case, they will likely continue to operate under their existing brand names, but back end operations will be merged to create cost synergies and avoid duplication of efforts.

Of course that may not be the case, we may see both companies be rebranded under a new banner but at this stage nothing has been confirmed.

HBOS only confirmed to the market this afternoon that talks are in progress due to the Beeb leaking the fact that the two parties were in advanced talks

Its likely that in the next 24/48 hours Lloyds will make a formal stock exchange announcement detailing the structure the takeover and what the strategy is once HBOS has been acquired.

I work as an M&A Research Analyst covering the UK market so this deal has been occupying my time today :p

I dont believe that HBOS are in trouble, and neither does the FSA, this is just how the market works. In greedy times be fearful, in fearful times be greedy. This is just Lloyds being greedy and capitalising on acqiuring a competitor at a knock down rate.
 
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its crappy to be honest

they have a lot of business till, they made a big profit this year..they have money to ride it out, but they seem to have been targetted to drive the share price down..leaving them wide open to a takeover by a larger company


it will mean thousands of people lose their jobs over some hedge funds making a profit...it doesnt seem right

everybody seem to think they have the business and the funds to ride it out..but their shares have been hammered by short selling
 
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