The Dean

EITHER) Panmure Gordon slashes Royal Bank of Scotland (RBS) price target to 40p from 130p in wake of the bank's announced GBP20B capital raising plan through the UK treasury. Cites the dilution of shares through the GBP15B share issue and the GBP600M coupon on the GBP5B in new preference shares.

OR) Merrill Lynch upgrades Royal Bank of Scotland (RBS.LN) to buy from neutral, after it announces it will raise GBP15B of equity in a deal underwritten by the UK government. Keeps 108p price target.

Roadking

Or; the UK Governement buys the bloody lot on behalf of the taxpayer and then puts in control the fewkwits that made it happen in the first place. Glad I'm in Dubai..actually I'm in the UK this week but you know what I mean!

The Dean

For the first time in a while tonight, I go to sleep knowing my savings are safe...........

MacScot

In the good old days, the Royal Bank of Scotland (where I still have an account after 28 years) was a traditional high street bank in old Caledonia paying low interest on deposits and lending to local businesses and people buying houses at a higher interest rate...then came along North Sea oil..now in the big league...then purchased a larger English bank...the National Westminster Bank...then got into the North American market and subprime mortgages..then purchased the Dutch bank ABN Amro...all downhill since then !

The Dean

Yes - and depending on which version you believe I am now somewhere between 8 percent and 26 percent a UK civil servant..........

UKCityGent

RBS is going to over-control with the UK gov owning 60% - I think its going to find it difficult to operate in a global market. I think maybe it will start stripping some of its non-surplus business (Coutts for one) and concentrate on what it was good - basic high street banking.

The markets took a bit bite of the £20b yesterday that was invested (approx £4b out of the shareprice) - however if the price goes to its previous high the government could be holding stock worth over £200b+ !!

The Dean

I reckon it will keep Coutts - but will obviously sell that bank they own 40 pct of in Saudi Arabia............ now what sort of idiots would work for a bank like that??????