Ian R Posted September 18, 2008 Share Posted September 18, 2008 Everyone has probably seen on the news that LLoyds is buying HBOS. It got me thinking if the financial climate was different to what it is at present wouldn't the OFT and monopolies commision step in to stop this ? Isn't this just going to make the big 4 even bigger ?? How long before HSBC Barclays and Nat West snap up smaller banks and hit us even harder in the pocket. Im sure if Sainsburys was in financial crisis and Tesco went in to buy them the OFT would have something to say about. IMO the government are allowing it to bail themselves out. Quote Link to comment Share on other sites More sharing options...
bigbloodyturbo Posted September 18, 2008 Share Posted September 18, 2008 they will allow it to happen to get the situation the financial markets are in to settle down a bit, but in the not to distant future the monopolies commision will make Lloyds do something. Problem is Lloyds will have a few months or even a year to figure out a loop-hole they can use just like tesco's did with tesco metro Quote Link to comment Share on other sites More sharing options...
AndyT Posted September 18, 2008 Share Posted September 18, 2008 Yes. If any one group control more than 25% of the market they should stop the deal. This merger puts them at 28% of the mortgage market, 22% of the credit card market. They just wiped 80% of the value of hbos shares. 2 days. Thing is, if the merger makes the company so strong then why do the two have to merge? Slashing the shareholder investments. The gov. is expected to step in and talk to the commission to allow the merger too. Quote Link to comment Share on other sites More sharing options...
bigbloodyturbo Posted September 18, 2008 Share Posted September 18, 2008 didn't HBOS shares rebound after the talks went well with Lloyds? Quote Link to comment Share on other sites More sharing options...
AndyT Posted September 18, 2008 Share Posted September 18, 2008 didn't HBOS shares rebound after the talks went well with Lloyds? Think they settled at 232. 65% down. Quote Link to comment Share on other sites More sharing options...
SteveR Posted September 18, 2008 Share Posted September 18, 2008 didn't HBOS shares rebound after the talks went well with Lloyds? Think they settled at 232. 65% down. Just before the merger was rumoured to be happening, they were at 88p and falling like a rock. The merger saved HBOS. There is no choice for the time being, the pair had to be allowed to merge (no other bank was interested, even HSBC, without government guarantees). It's the best thing for the UK for the time being. When this shit storm is over, ~5+ years down the line, they'lll no doubt go back to being 2 seperate companies again (and make Lloyds a tidy profit in the process). Quote Link to comment Share on other sites More sharing options...
Konrad Posted September 19, 2008 Share Posted September 19, 2008 That's hedge funds for us Selling shares they do not have and buy them for lower price, nice one ... I think that financial institutions are right now like snake who eats his own tail. PS. Putin just froze stock market hehe Quote Link to comment Share on other sites More sharing options...
Jake Posted September 19, 2008 Share Posted September 19, 2008 This merger puts them at 22% of the credit card market. That's a vague statement. What does being "at 22% of the credit card market" mean? Quote Link to comment Share on other sites More sharing options...
stevie_b Posted September 19, 2008 Share Posted September 19, 2008 The deal would usually fall foul of the Monopolies and Mergers Commission, but the government have said that they waived the rules in this case to prevent HBOS from going under. Quote Link to comment Share on other sites More sharing options...
AndyT Posted September 19, 2008 Share Posted September 19, 2008 That's a vague statement. What does being "at 22% of the credit card market" mean? Figures from the Daily Telegraph Jake. Would imagine that it meant 22% of the cc's issued in UK and the interest garnered from them. Quote Link to comment Share on other sites More sharing options...
ivan Posted September 19, 2008 Share Posted September 19, 2008 If the world governments are pumping billions into the financial market in an effort to stabilise it, where's it all going? We should find out who's got it and mug them for it back. Quote Link to comment Share on other sites More sharing options...
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