Goldman hired to aid Northern Rock rescue

December 16, 2007 - 0:0

LONDON (Reuters) -- UK Chancellor of the Exchequer Alistair Darling has asked investment bank Goldman Sachs to help put together a financing package to rescue ailing bank Northern Rock, the Financial Times reported on Saturday.

The newspaper said the move was seen as a last-ditch attempt to find a private-sector solution to the troubled bank's crisis.
The two rival bidders for Northern Rock -- Virgin Group and Olivant -- are struggling to find the financing to take over the bank and repay 25 billion pounds ($50.70 billion) of tax payer-backed loans, the FT said.
Darling on Friday approved the involvement of Goldman Sachs -- the government's advisers in the sale -- in the hope it will help find backers for a private sale and speed up the process, the newspaper added.