Lloyds Auctions Mortgage Bonds To Beef Up Its Balance Sheet

Lloyds Banking Group PLC (NYSE:LYG) (LON: LLOY) Friday announced that it has stuck deals worth £3.3 billion to sell off a portfolio of securities backed by U.S. Home Loans. The British lender, which is 39 percent owned by the tax payer, continues to strengthen its reserves by disposing of assets that are not part of its core UK banking business. Britain’s largest mortgage lender said the sale of the U.S. mortgage portfolio that had a book value of £2.7 billion would result in a pre-tax gain of £540 million. The British bank’s sale comes on the back of a recovery…