U.K.'s Lloyd's to Buy Mortgage Lender HBOS

Shares of HBOS fell 51% in the past week amid fears it was having trouble raising funds in the wholesale markets.
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The U.K.'s

Lloyds TSB Group

agreed to acquire mortgage lender

HBOS PLC

for more than $22 billion in a deal backed by the British government aimed at helping to stabilize the British financial system during the world's ongoing credit crisis.

Shares of HBOS fell 51% in the past week following the bankruptcy filing of

Lehman Brothers

(LEH)

and the U.S. government's bailout of

American International Group

(AIG) - Get Report

, and amid fears it was having trouble raising funds in the wholesale markets.

This article was written by a staff member of TheStreet.com.