Member Info for zccax77

Sain what are you invested in at the moment?

The place has a DEBS so I can only assume it will go for buttons.

Not sure why you thought it was a good idea holding it overnight. These kind of share usually start dropping after 3:30pm after a big drop.

23 oct

It's the same much being spread constantly by the media, no new news or development. Hopefully the Q3 update will put all of this mess to bed.

Only 500m needs to be raised this year. Which is certainly more than their current mcap. What a disgrace.

Over 24 months.

We are talking about an overstatement of only £95m on a capital balance of £1.4bn. I am not sure why the FCA/PRA are taking this so seriously since even with this overstatement they were within their capital requirements. I think there is an underlying agenda here.

That is over 24 months. For 2019 they need only issue £500m. Remember every single bank has to issue MREL's equivalent to 22%-25% of their balance sheet.

So deposits flowing back at a rate of 100mn per week. Bullish

However, Tuesday’s update suggested the bank was making some progress in returning to growth, with deposits increasing from £13.7bn at the end of June to £14.4bn at the end of August.

https://www.ft.com/content/d421cb7e-d973-11e9-8f9b-77216ebe1f17

It would be prohibitively expensive.

If nationwide are issuing at 6%, what will metro issue at 8-9%?

This is what the shorters are betting on. But looks like the BOD are on the ball, and the trigger has been pulled to issue these bonds. Though not sure why their rating is junk with such a high CET1.

Metro Bank added further UK supply to the pipeline on Tuesday, announcing a mandate for a London roadshow starting on Wednesday ahead of a planned inaugural, sterling benchmark senior non-preferred (SNP) issue.
The deal is expected to have a four non-call three-year maturity and a rating of BB+ from Fitch.
The UK lender is still suffering after a loan book error in January left a gaping hole in its balance sheet and wiped more than £1.5bn off its market value.
That likely raised its funding costs, but Metro still needs to raise £500m of MREL-eligible debt to meet its transitional MREL target by January 1 2020.

Thanks JM1973, that is very useful

Fitch graded MTRO's credit status as high grade junk.

https://www.globalcapital.com/article/b1h68phkzp5y8l/metro-bank-eyes-bond-market-comeback-in-race-for-mrel

Well I know two people who have atleast 50% of their net worth in metro. One a V.Hill and another a C. Donaldson :-)