Challenger bank bid

THE battle to buy start-up bank Shawbrook intensified yesterday as its private equity suitors made a formal £842m bid.

Pollen Street, which founded the lender six years ago and oversaw its later float on the stock market, has teamed up with BC Partners to offer 332.7p per share.

The firms stressed their plan would give shareholders flexibility and a good price. But it has been rejected by the challenger bank’s board, which called on investors to say no.

If the bidders win support from three-quarters of investors, they can take Shawbrook private. Pollen Street already owns nearly 40pc of the bank and has been told the holders of another 6pc of shares will support its plan.