RBS Settles 2008 Shareholder Rights Issue Litigation
December 05 2016 - 2:56AM
Dow Jones News
By Razak Musah Baba
LONDON--Royal Bank of Scotland Group PLC (RBS.LN) has agreed to
pay out up to 800 million pounds ($1.02 billion) in a shareholder
rights issue litigation to help reduce further cost.
RBS, which is 73% owned by the U.K government, said Monday it
has concluded a full and final settlement with three out of the
five shareholder groups representing 77% of the claims by value in
the 2008 shareholder rights issue litigation.
In total, the bank said it is willing to make available
settlement sums of up to GBP800 million assuming settlement of all
claims, to be split among all five shareholder groups, subject to
agreement and claim validation. The total settlement amount of up
to GBP800 million is covered by existing provisions.
"We have been very clear that we wanted to deal with as many of
our legacy litigation issues as possible during 2015 and 2016. We
are pleased to have reached this agreement and hope that it will be
accepted by the remaining claimant group(s) so that this long
course of complex and costly litigation can now be concluded,"
Chief Executive Ross McEwan said.
-Write to Razak Musah Baba at razak.baba@wsj.com; Twitter:
@Raztweet
(END) Dow Jones Newswires
December 05, 2016 02:41 ET (07:41 GMT)
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