A 10 month process for the potential demerger and management buy out of the LDC business and its investment portfolio valued at c£2.0bn from its parent driven by regulatory issues which required a creative and innovative solution.
The management of LDC and Lloyds Bank, facing various political, regulatory and capital adequacy issues arising due to the financial crisis, ran a project to demerge the LDC business in entirety and its portfolio from Lloyds and provide a mechanism to finance the acquisition and ongoing investment requirement of the business.