iT SAY 250 MILLION IN THIS ONE.Guess just wait and see.Babcock &...

iT SAY 250 MILLION IN THIS ONE.

Guess just wait and see.

Babcock & Brown extra funding likely at 11th hour

Investment bank Babcock & Brown (ASX:BNB) may have been given a funding lifeline with reports that its banking syndicate has finally agreed to extend temporary support with an additional A$250 million in funding.

The extra funding package by the Australian banks was initially opposed by German banks. However, after another long discussion the Germans have now agreed and are expected to sign the supporting documents tonight.

It is understood that the deal involves Babcock & Brown needing to sell down assets including some European assets and that even with the funding facility, cash reserves may need to be supported by other means.

Babcock & Brown has been suspended pending finalisation of a funding package.