The toxic legacy that Lloyds Banking Group inherited from HBOS is likely to resurface this week with a restructuring of Admiral Taverns, the UK pub group in which the part-nationalised bank has a £855m exposure. Lloyds is expected to agree a debt-for-equity swap at Admiral just days after the collapse of Kenmore, the property developer into which HBOS is estimated to have put at least £700m. Lloyds is expected to write off as much as £600m at Admiral. A pre-pack administration is being considered and an announcement could be made as soon Monday.

This entry was posted by Gwen Robinson on Monday, November 16th, 2009 at 4:45 and is filed under Capital markets. Tagged with Admiral Taverns, Kenmore, Lloyds Banking Group. Edit this entry.