Macquarie quits Lloyds race

Westpac now set to purchase British bank's Australian operations.

Macquarie Group (MQG) has pulled out of the race to buy Lloyds Banking Group Plc's Australian business, leaving Westpac Banking Corporation (WBC) set to purchase the assets, The Australian Financial Review reports.

The news follows international and local banks' attempts to put financing packages together for the business, which may be worth about $10 billion.

Westpac was earlier seen as the clear front-runner to buy the business, which largely consists of performing loans and a car leasing business.