Lloyds revises HBOS offer
Lloyds TSB is seeking £5.5bn of capital with £1bn from the Government and £4.5bn via a state-backed share offer.
Merger partner Halifax Bank of Scotland aims to raise £11.5bn, including £3bn from preference shares.
Lloyds will now offer 0.605 Lloyds shares for every HBOS share, instead of the 0.833 previously bid. HBOS chairman Dennis Stevenson and chief executive Andy Hornby will quit after the merger.