OneSavings Bank (OSB) and Charter Court Financial Services Group merger

Overview:

• OneSavings Bank (OSB) and Charter Court Financial Services have confirmed that they are in talks over a £1.6 billion merger.
• The two challenger banks are looking to combine to create a stronger specialised mortgage lender.
• The terms of the deal as it stands would see OSB paying 0.8253 new shares for each Charter Court share giving them 55% of the new company.
• Barclays and Rothschild are acting as financial advisers to OSB, with Rothschild also acting as sponsor.
• RBC Capital markets and Credit Suisse are advising Charter Court.

Sam Duke