Northern Rock Plans Mortgage Sec Sale

Northern Rock is seeking to sell retail mortgage-backed securities.

Northern Rock is seeking to sell retail mortgage-backed securities, Bloomberg reports. The U.K. lender is planning to offer the securities in the first half of the year, though it will continue to be funded mainly by retail deposits.

The Newcastle-based bank hopes the funding plan will enable it to boost its balance sheet by increasing lending. Northern Rock may also use excess liquidity to buy mortgage assets from other lenders, including Northern Rock (Asset Management).

Click here for the story from Bloomberg.