Britain’s Co-Op Bank says merger talks “well advanced”, revamp almost complete

LONDON (Reuters) – Britain’s Co-Op Bank said on Thursday talks for its takeover by Coventry Building Society were “well advanced” and its multi-year revamp was now materially complete, after reporting first quarter financial performance in line with expectations.

“[We] are now working together on the next stages. In the meantime, we remain focused on delivering our strategic plan and great service for all our customers,” Nick Slape, the chief executive officer, said in a trading update.

Co-Op Bank also said it had secured an investment grade credit rating and its long-term deposit rating had beenupgraded to Baa3 by Moody’s in March.

Slape said the improved credit rating would enable the bank to diversify its customer base by growing our corporate banking book, as well as provide enhanced funding capabilities.