TPG Buys Stake of British Mortgage Company

Posted by John Carney, Jun 02, 2008, 9:21am

It's not just the Lone Star Funds going long mortgage companies. This morning Bradford & Bingley announced plans to raise 400 million pounds by selling a stake to buyout firm Texas Pacific Group. It's part of the now familiar dance for finance companies, where they reveal craptacular earnings and attempt to soften the blow by revealing they are shoring up their balance sheets with an injection of new capital. So yeah, B&B also revealed that profits halved in the first four months of the year.

B&B had planned to sell a stake at around 82 pence per share. TPG is paying just 55 pence, indicating that investment appetite for the UK largest buy-to-rent mortgage company is still scarce. The deal is mightily dilutive for existing shares, which were down 23 percent this morning.

B&B sells 23 pct stake to TPG, redraws rights issue [Thompson Financial via Forbes]

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Posted in: Mortgages, Texas Pacific Group

Comments

Posted by onetwo , Jun 02, 2008 9:30AM

Busy moning for you, JC. I bet you had a lot of time to write on your "very very packed train home". My delightful (rented) Ford Edge (don't buy) got us home in 1.5 hours sunday.

So, I ask again, what traffic?

I fully plan on having the CFTC launch an investigation on you for alleged traffic manipulation.

Posted by guest, Jun 02, 2008 9:34AM

you guys are busy today, churning out articles... someone must've brought in donuts today at db?

Posted by John Carney, Jun 02, 2008 9:39AM

We had a blissful weekend. Saturday's weather was not nearly as bad as expected. Sunday's was heavenly. It's left us feeling bright and shiny.

1-2, I'm glad you didn't buy. Owning a car in NYC is a sign of idiocy.

Posted by Anal_yst, Jun 02, 2008 9:42AM

@ 9:34

Or adderal

Posted by Finnegan, Jun 02, 2008 9:46AM

Glad someone had a blissful weekend.

Posted by Investorcluzo, Jun 02, 2008 10:12AM

carney - correct, buying isn't practical in this city, but who wants to be practical? renting a car every weekend is not feasible - long lines, hertz running out of cars (despite your reservation and gold status) and who wants to drive up to star room in taurus? a sure sign that you won't be getting in...

Posted by guest, Jun 02, 2008 10:19AM

you gotta be #1 club gold, sucka!

Posted by onetwo , Jun 02, 2008 12:04PM

How I yearn for the family's Hertz Platinum status. Best clause in the membership contract: if they don't have a premium car waiting curbside for you when you deplane you get the manager's car.

With all apologies to Jeff Matthews, you can't make that shit up.

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