by Calculated Risk on 7/04/2008 12:36:00 PM

From the Financial Times: TPG walks away from UK bank rescue (hat tip Terry)

Bradford & Bingley shares tumbled on Friday after its largest shareholders were forced to step in and rescue the ailing mortgage lender after TPG Capital, the private equity group, pulled out of a £400m capital increase.

The emergency rescue was triggered after Moody’s, the credit rating agency, late on Thursday night informed B&B it was planning to cut the bank’s credit rating.

The move gave TPG the legal right to abandon the deal ...

Meanwhile, according to Bloomberg: European Banks May Need EU90 Billion, Goldman Says

European banks may need to raise as much as 90 billion euros ($141 billion) to restore their capital after the U.S. subprime mortgage collapse caused credit markets to seize up, according to Goldman Sachs Group Inc.
...
Anshu Jain, head of global markets at Deutsche Bank AG, said this week that that contagion is ``by no means over,'' and Europe's banks have lagged behind the U.S. in raising money from investors.