Challenger bank Shawbrook has made a new offer for Co-op Bank in recent days, according to city sources.
Sources, speaking under the condition of anonymity, told Reuters that Shawbrook had made an offer for the bank in recent days.
The news follows the emergence of reports that Shawbrook has seen Metro Bank reject a series of takeover approaches, including one made in the second half of September.
This isn’t the first time that Shawbrook has been linked with the Co-op Bank with a £3.5bn merger having been mooted in August this year.
Fellow challenger bank Aldermore was also linked with a bid last month whilst fellow banks Paragon Banking Group and One Savings Bank have also been suggested as potential suitors.
The Co-op Bank has reportedly been looking for a buyer since April this year with a deadline set for early October.
Meanwhile, Reuters has also reported that Shawbrook is considering another bid for Metro Bank, though sources said there is no certainty that a transaction will happen.
Over the weekend Metro Bank has reportedly been speaking to bond and shareholders trying to raise cash to firm up its finances with the High Street challenger believed to be looking for around £600m.
The Prudential Regulation Authority is understood to be looking for potential buyers for Metro with its preference being for the entire concern to be purchased.
