MSN UK News- Sir Richard Branson’s bid for Northern Rock has taken a blow after the crisis-hit lender placed a rival suitor on an equal footing, it has been reported.
A Virgin-led team was the Newcastle-based firm’s preferred bidder, but Olivant, an investment company led by former Abbey boss Luqman Arnold, has now been given access to the company’s banks and management, according to several newspaper reports.
Olivant had threatened to pull out of the running after the beleaguered lender blocked its efforts to hold talks with a consortium of banks putting up loans of up to £15 billion to finance a rescue bid.
Northern Rock has borrowed about £25 billion from the Bank of England in emergency funding so far after being hit by the credit crunch in September.
