Shares in Lloyds Banking Group surged 7.5% on Thursday as the bank began consultations with investors about a £21bn capital raising and played down the impact of concessions demanded by Brussels for state aid. Eric Daniels, CEO, and advisers met key shareholders to discuss issuing £7.5bn of convertible bonds and a rights issue of £13bn, to be launched by Nov 4 at latest. The government has said it will take up its full allocation of new shares to maintain its 43.5% stake, adding about £6bn to the £17bn it has injected into Lloyds since January.

This entry was posted by Gwen Robinson on Friday, October 30th, 2009 at 4:45 and is filed under Capital markets, People. Tagged with Lloyds Banking Group. Edit this entry.