Blackstone will work alongside Merrill Lynch and Citi to advise the stricken lender - confirming that it will not take part in the bidding process, despite recent reports to the contrary.
It will be involved in all aspects of the Company's current strategic review, including future funding arrangements and the potential reconfiguration of its balance sheet.
Northern Rock also notes continuing speculation about discussions with third parties who are potentially interested in transactions relating to the Company.
Further to its announcements on 9 & 15 October 2007, the Company wishes to confirm that:
- It is continuing to work with a number of third parties, and has developed further structures which allow it to seek additional expressions of interest from other parties, as part of its review of all strategic options.
- The process is complex and remains at an early stage. All proposals the Company has received so far are preliminary in nature.
- There remains no certainty that any third party discussions will lead to a transaction.
- As previously announced, the strategic review will be completed by February 2008. Further announcements will only be made when there is greater clarity and significant progress has been made in relation to the strategic review.
