Calendar An icon of a desk calendar. Cancel An icon of a circle with a diagonal line across. Caret An icon of a block arrow pointing to the right. Email An icon of a paper envelope. Facebook An icon of the Facebook "f" mark. Google An icon of the Google "G" mark. Linked In An icon of the Linked In "in" mark. Logout An icon representing logout. Profile An icon that resembles human head and shoulders. Telephone An icon of a traditional telephone receiver. Tick An icon of a tick mark. Is Public An icon of a human eye and eyelashes. Is Not Public An icon of a human eye and eyelashes with a diagonal line through it. Pause Icon A two-lined pause icon for stopping interactions. Quote Mark A opening quote mark. Quote Mark A closing quote mark. Arrow An icon of an arrow. Folder An icon of a paper folder. Breaking An icon of an exclamation mark on a circular background. Camera An icon of a digital camera. Caret An icon of a caret arrow. Clock An icon of a clock face. Close An icon of the an X shape. Close Icon An icon used to represent where to interact to collapse or dismiss a component Comment An icon of a speech bubble. Comments An icon of a speech bubble, denoting user comments. Ellipsis An icon of 3 horizontal dots. Envelope An icon of a paper envelope. Facebook An icon of a facebook f logo. Camera An icon of a digital camera. Home An icon of a house. Instagram An icon of the Instagram logo. LinkedIn An icon of the LinkedIn logo. Magnifying Glass An icon of a magnifying glass. Search Icon A magnifying glass icon that is used to represent the function of searching. Menu An icon of 3 horizontal lines. Hamburger Menu Icon An icon used to represent a collapsed menu. Next An icon of an arrow pointing to the right. Notice An explanation mark centred inside a circle. Previous An icon of an arrow pointing to the left. Rating An icon of a star. Tag An icon of a tag. Twitter An icon of the Twitter logo. Video Camera An icon of a video camera shape. Speech Bubble Icon A icon displaying a speech bubble WhatsApp An icon of the WhatsApp logo. Information An icon of an information logo. Plus A mathematical 'plus' symbol. Duration An icon indicating Time. Success Tick An icon of a green tick. Success Tick Timeout An icon of a greyed out success tick. Loading Spinner An icon of a loading spinner.

Clydesdale Bank to float today after 24 hour delay

Clydesdale Bank
Clydesdale Bank

The owner of Clydesdale Bank confirmed it will start trading on the stock exchange today after a concerns raised by a credit agency caused a 24-hour delay in its initial public offering (IPO).

Clydesdale and Yorkshire Banking Group (CYBG) was yesterday forced to delay its long-awaited flotation on the London Stock Exchange by a day after an unspecified credit agency requested financial information related to its deposit rating.

CYBG, which is being spun off by its owner National Australia Bank (NAB), warned that the outcome of the assessment could lead to a “near term downgrade” of its short- and/or long-term
deposit rating or “negative implications” for the rating. But it also insisted that it did not expect any downgrade to have “material impact” on its ability to raise funding our its financial outlook.

Most of the bank will be owned by NAB’s existing shareholders, but 25% of the stock had already been sold to new investors at a strongly discounted price of 180p per share, or £1.58billion. This is towards the lower end of the 175p to 235p a share range initially set by NAB towards the end of January.

The announcement of the embarrassing delay came after NAB confirmed that it had successfully demerged its UK banking operations ahead going public.

Chief executive David Duffy said: “I am delighted that NAB has today confirmed the demerger and that the IPO is expected to proceed.
“Whilst we have a very short delay in launching the IPO it is very important that we commence trading as an independent company in the best possible way.
“We have made excellent progress with the transaction and we have very strong interest in our story.”

The flotation will mark the first time since 1919 that Clydesdale has been independent, having been owned by first Midland Bank and then NAB since 1987.

NAB is providing a £1.7billion support package to make sure the new bank can meet “potential future legacy conduct costs” – a requirement of UK banking watchdog, the Prudential Regulation Authority.

Already a subscriber? Sign in

[[title]]

[[text]]