NEW YORK (Reuters) – A consortium that is led by financial services executive Gerald Ford and includes a number of private equity firms, submitted a bid for troubled bank Guaranty Financial (GFG.N) despite uncertainty over U.S. regulation guidelines, sources familiar with the matter said on Tuesday.
It was unclear how many offers were submitted in total by Tuesday’s deadline for bids, but sources said that there were also expected to be bids from other parties.
U.S. regulator, the Federal Deposition Insurance Corporation, recently proposed tough guidelines for private capital investors in failed banks and the industry is awaiting final guidelines.
It was unclear how the Ford-led bid had been structured; but industry insiders and executives have previously said that the guidelines as they were originally proposed would quell private capital investment into banks.
The Ford consoritum includes Blackstone Group (BX.N), Carlyle Group, Oak Hill Capital and TPG, the sources said.
By Megan Davies and Paritosh Bansal