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Metro Bank shares surge on talk of private equity takeover
- Metro Bank shares surged to a two-year high following news of a potential takeover approach by Pollen Street Capital, a London private equity firm.
- The takeover could lead Metro Bank to be removed from the London Stock Exchange and possibly be merged with Shawbrook, another company owned by Pollen Street Capital.
- Shares of Metro Bank rose over 15% to 130p on Monday in response to the news.
- The possibility of a private equity takeover and merger raises concerns for Metro Bank employees who recently experienced job cuts as part of a cost-saving initiative.
- Further job cuts could impact services for the bank's 3 million customers, especially across its branch network where services have already been reduced.
- No specific price has been mentioned for Pollen Street Capital's potential offer for Metro Bank.
- A successful sale could represent a significant windfall for Metro's shareholders after a period of share price decline and financial difficulties.
- Metro Bank, founded in 2010, faced challenges and near failure in the past due to issues like accounting errors and regulatory concerns.
- Colombian billionaire Jaime Gilinski Bacal holds a 53% stake in Metro Bank following a £925m rescue deal in 2023.
- All involved parties, including Metro Bank, Pollen Street Capital, and Shawbrook, have declined to comment on the potential takeover.
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