Ameriprise lines up 800 mln bid for Lloyds funds arm -paper
LONDON, April 21
LONDON, April 21 (Reuters) - U.S. financial services company Ameriprise Financial is lining up an 800 million pound ($1.22 billion) bid for Lloyds Banking Group's Scottish Widows asset management arm, the Sunday Times reported.
Last week Reuters reported that Lloyds had hired advisors for a possible sale of Scottish Widows Investment Partnership (SWIP), as it prepares for a likely regulatory demand to raise more capital.
The Sunday Times said analysts believe Minneapolis, Minnesota-based Ameriprise, which owns British fund firm Threadneedle Investments, would lay off most of SWIP's Edinburgh-based employees if it wins the auction.
Both Ameriprise and Lloyds declined to comment.
UK banks are having to consider further disposals after the Bank of England said they must raise a total of 25 billion pounds of extra capital by the end of the year, to be in a position to absorb future loan losses.