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Kensington To Be Sold For 250mil As Shares Nose Dive?

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in relation to their loan book and position in the market place etc, didn't someone mention a potential sub prime scandal being cleverly airburshed away a while back, could this be it? :ph34r:

UK’s biggest sub-prime mortgage lender set to accept cut-price bidRobert Lindsay

Britain’s biggest sub-prime mortgage lender, Kensington Group, which specialises in home loans to people with poor credit records, warned investors yesterday that it was about to recommend a takeover at less than Tuesday’s closing price of 560.5p.

The shares, which have dived from £12 a year ago after several profit warnings, plunged another 13 per cent or 71½p to 489p, valuing the company at just £257 million.

Kensington is expected to announce a deal within days, with the US bank Morgan Stanley thought to be the buyer.

The lender, which pioneered the UK sub-prime lending market in the 1990s, received a number of approaches after putting itself up for sale in February on its first profit warning.

But it has since issued another two warnings over shrinking profits and growing competition from investment banks, which have entered the UK market with cheaper loans, sold through independent financial advisers.

Other potential bidders, which have now walked away, were rumoured to include Lehman, Bear Stearns and Deutsche Bank, all new competitors of Kensington.

http://business.timesonline.co.uk/tol/busi...icle1832156.ece

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in relation to their loan book and position in the market place etc, didn't someone mention a potential sub prime scandal being cleverly airburshed away a while back, could this be it? :ph34r:

UK’s biggest sub-prime mortgage lender set to accept cut-price bidRobert Lindsay

Britain’s biggest sub-prime mortgage lender, Kensington Group, which specialises in home loans to people with poor credit records, warned investors yesterday that it was about to recommend a takeover at less than Tuesday’s closing price of 560.5p.

The shares, which have dived from £12 a year ago after several profit warnings, plunged another 13 per cent or 71½p to 489p, valuing the company at just £257 million.

Kensington is expected to announce a deal within days, with the US bank Morgan Stanley thought to be the buyer.

The lender, which pioneered the UK sub-prime lending market in the 1990s, received a number of approaches after putting itself up for sale in February on its first profit warning.

But it has since issued another two warnings over shrinking profits and growing competition from investment banks, which have entered the UK market with cheaper loans, sold through independent financial advisers.

Other potential bidders, which have now walked away, were rumoured to include Lehman, Bear Stearns and Deutsche Bank, all new competitors of Kensington.

http://business.timesonline.co.uk/tol/busi...icle1832156.ece

Have MS seen the books then?

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