RBS considering £3bn cash call, reports say
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Natalie Holt
Royal Bank of Scotland is reportedly considering a share issue of between £3bn and £4bn in order to reduce the government stake in the bank.
RBS has already signalled its intention to use the government’s Asset Protection Scheme and place £325bn of toxic assets into the scheme.
Under the current terms RBS would have to pay a fee of £19.5bn and face handing over an additional 15% stake to the government, upping the share of the bank owned by the government from 70% to 85%, reports say.
Stephen Hester, chief executive of RBS, is now reportedly sounding out investors for a share issue of about £3bn following a surge in the bank’s share price.
