UK's Largest Mortgage Lender in Buyout Talks

HBOS could be sold to Lloyds as early as tomorrow
By Jason Farago,  Newser Staff
Posted Sep 17, 2008 10:36 AM CDT
HBOS and Lloyds TSB are in advanced talks about a merger as HBOS shares again came under heavy selling pressure in the market.   (AP Photo/Kirsty Wigglesworth)
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(Newser) – Britain's biggest mortgage lender, HBOS, is in advanced discussions with Lloyds about a possible buyout, reports the Financial Times. Stock in the troubled lender has yo-yoed today, falling to less than a pound a share before rocketing up and then plummeting again. While a Lloyds purchase of HBOS could trigger monopoly concerns, several bankers close to the talks said the government was prepared to ignore competition issues in the short term.