Troubled NIBC gets boost from Kaupthing takeover
The fate of another financial institution hit hard by sub-prime mortgage woes, Dutch investment bank NIBC (A-/A3), looks to have been secured following its takeover by Iceland’s Kaupthing Bank (Aa3/A).Relative value the silver lining in credit correction
Market participants agree that increased relative value opportunities are a likely beneficial result of last week's credit correction, centred on US financial institutions' exposure to sub-prime debt and LBO finance.
Retail lending continues to hit US FIs
Generally strong results announcements from a series of US banks have been universally impacted by increased provisions for retail bad debt, including ongoing concern regarding the sub-prime mortgage sector.