ABN investor TCI demands details on LaSalle deal

Mon Apr 23, 2007 6:37pm BST

[-] Text [+]

LONDON (Reuters) - Hedge fund TCI called on Dutch bank ABN AMRO on Monday to give more details on its planned sale of U.S. business LaSalle to Bank of America.

ABN, which said on Monday it has agreed to be taken over by Barclays for around $90 billion (45 billion pounds), also announced the planned sale of LaSalle to Bank of America for $21 billion. A rival consortium of suitors, led by Royal Bank of Scotland, said they would have kept the unit.

"We are concerned the pre-agreed sale of LaSalle Bank unfairly hinders the RBS consortium," the fund said in a statement.

"TCI believe the fiduciary duties of the ABN Amro Board require full disclosure of the "limited circumstances" under which the sale of LaSalle Bank can be terminated, resulting in a payment of $200 million to the Bank of America."

Do banks do "God's work"?

The chief executive of Goldman Sachs, which has attracted widespread media attention over the size of its staff bonuses, believes banks serve a social purpose and are doing "God's work". Blog