Lloyds offloads £1bn of private equity investments

LLOYDS Banking Group has sold some £1 billion of investments it inherited from its takeover of HBOS as part of its drive to return its balance sheet to health.

The group has agreed to sell a portfolio of 71 private equity related assets to a fund overseen by Coller Capital, an investor that specialises in such deals. The unusual set of investments, which are thought to include stakes in private equity firms and funds, were sold at close to face value.

The disposal is part of Lloyds’ chief executive Antonio Horta-Osorio’s plan to restore the bank to health following its £20bn rescue by the UK government in 2008.

The bank has already sold some £23bn of non-core assets so far this year on top of £53bn last year as it looks to focus on its core banking operations.