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Lloyds TSB in HBOS Takeover - Report

Stephen Harris

17 September 2008

Lloyds TSB is in advanced merger talks with HBOS to create a UK retail banking giant worth £30 billion, according to the BBC.

News of a merger, valuing HBOS shares at 300 pence each could be announced within the next 24 hours, says the BBC.

The report claims that the deal has the go-head of the UK’s Treasury and the FSA.

HBOS and Lloyds declined to comment when contacted by WealthBriefing. Lloyds TSB shares are currently trading up 8.4 per cent, whereas HBOS shares were up 2.4 per cent.

HBOS has been under heavy pressure since the credit crunch erupted last year. It's share have fallen by more than 77 per cent over the last 12 months.