Natwest Takeover Rumours (NWG)

...with the Govt reducing its stake Then the overall company becomes worth more imo. ..it's value for example to other banks increases, as a possible takeover target. (No one wants to take over a bank where a Govt owns 35-40% & effectively controls it)

Market Caps are often driven by sentiment short term (Warren Buffet's 'voting machine') and I think NWG is one that is suffering from an overdose of negative sentiment that is driving this price down. I bought a small tranche a couple of weeks ago after it got hit by Barclays' (I think) Results. I've waded in today with a normal size (for me) purchase at £1.76 Faragegate will blow over, it's still very profitable. It has a t/o of £14B, Profit £4B. MCap of just £20B - Really? Government stake much reduced (38, down from 84%), this could easily be a takeover target with the Predator paying at least the £2.68 that was achieved by the last tranche sale in May. I'm sure the Government would welcome the cash injection.