LONDON, June 2 (Xinhua) -- The London stock market was down by more than 1 percent by Monday midday as banking shares tumbled following news of a revamped rights issue from Bradford & Bingley.

    B & B fell by 26 percent after the bank said it had agreed to sell a 23-percent stake to private equity firm Texas Pacific Group and gave a gloomy trading update.

    The news hit other banking shares. HBOS dropped by 8.7 percent while Alliance & Leicester slid by 4.8 percent.

    By midday, the benchmark FTSE 100 index was down 71.3 points, or 1.2 percent, at 5,982.2.