Lloyds branch sale to Co-op collapses

Co-operative Group has pulled out of a deal to buy 632 branches from Lloyds Banking Group, saying it was not in the best interests of its members to proceed.

The sale of the branches, known as Project Verde, has to go ahead as part of the terms of the government bailout. Lloyds said it would now sell the branches through an initial public offering (IPO). Peter Marks, group chief executive of the Co-operative Group, said the business was disappointed the deal would not go ahead and blamed the current economy for the decision. "After detailed and thorough consideration of all aspects of the Verde transaction, we have decided, at this time, that it is not in the best interests of our members to proceed with the transaction. "Having worked ...