Northern Rock approached ICBC, BOC, as buyers
9 November 2007
British lender Northern Rock has contacted Chinese banks as potential buyers, the Financial Times reported. Northern Rock's advisers, which include Blackstone, Citigroup and Merril Lynch, have approached more than 50 potential bidders. Industrial and Commercial Bank of China and Bank of China were said to be among those approached. The advisers are offering Northern Rock up for a sale, restructuring or a combination of the two. The bank is in crisis as a global credit crunch has impacted its mortgage lending business. Northen Rock's search for potential buyers, however, is at an early stage. ICBC said it did not know of any discussions with Northern Rock nor did it have any interest in the bank. So far, JC Flowers, Cerberus and Virgin Group have made proposals for Northern Rock.