- Metro Bank’s Situation: The bank is on the Financial Conduct Authority’s (FCA) financial crime watchlist, confirmed on June 6.
- Reasons for Listing: The FCA’s action is related to the ongoing management of financial crime risk in Metro Bank’s back book and online account provisions.
- Regulator’s Response: The FCA plans to instate monitors to assess the effectiveness of Metro Bank’s financial crime controls and report progress.
- Metro Bank’s Cooperation: The bank asserts it is fully engaging, updating, and cooperating with the FCA on these matters, with ongoing inquiries.
- Financial Struggles: Metro Bank’s position was revealed in a 217-page dossier outlining a rescue deal, prompted by a more than 20% fall in its shares last month.
- Rescue Deal Details: The refinancing deal involves Spaldy Investments (owned by Colombian billionaire Jaime Gilinski Bacal) becoming the controlling shareholder with a $396.5 million capital raise and $126 million investment.
- Voting and Debt Financing: Existing shareholders are set to vote on the deal on November 27. The plan includes $725 million in debt financing.
- Potential Intervention: The Bank of England could take alternative measures if it does not endorse the proposed rescue plan.
- No Comment from Metro: Metro Bank did not respond to FinTech Futures’ request for comment.
