LONDON-BASED activist shareholder Caius Capital has taken an £11m stake in embattled Metro Bank.

The investment brings Caius Capital's stake to five per cent, making it one of Metro Bank's ten largest investors.

The stake from Caius Capital, an alternative investment manager focused on "distressed and special situations", comes a month after Metro Bank was fined £10m by the Financial Conduct

Authority (FCA) over an accounting scandal in 2018.

According to the FCA, in October 2018 the lender knowingly published inaccurate information regarding its risk-weighted assets. Metro Bank was hit with a £10m fine by the FCA as a result of the failures last month.

Shares in the firm have plummeted 96 per cent since 2018.

City A.M. understands Metro Bank is not concerned by the investment.

(c) 2023 City A.M., source Newspaper