BDO in the running for B&B valuation
Race to secure lucrative contract to put a price tag on Bradford & Bingley hotting up
BDO Stoy Hayward is in the running to value nationalised bank Bradford and
Bingley, the Independent has reported.
The Treasury is expected to announce the appointment by summer. It is
understood that US financial services firm Blackstone is also being considered
but KPMG has already been ruled out given it is B&B’s auditor.
BDO is already working on the valuation of another nationalised bank – it is
being paid £4.5m to value Northern Rock. The B&B job is on a larger scale
and so is expected to command a higher fee.
The successful tenderer will have to contact nearly one million investors to
obtain information necessary to determine a compensation payment for the
nationalisation, in which shareholder stakes were wiped out.
A panel of four chaired by Michael Izza, chief executive of the Institute of
Chartered Accountants in England and Wales, will make the selection.