Co-op Bank in exclusive merger talks with Coventry Building Society

The Co-operative Bank said on Thursday that it has entered into exclusive talks with Coventry Building Society about a possible merger.

Co-op Bank said that after an undisclosed number of non-binding proposals from potential bidders, formal discussions with Coventry will allow both parties to "better evaluate the merits of a combination".

There is no certainty the talks will result in a deal, it said, adding that a further update will be provided in due course.