Monaco-based hedge fund firm SRM Capital bought up shares in U.K.-based bank Northern Rock as bids for takeover scenarios came in for a firm hit hard by subprime mortgage defaults.

SRM increased its share of the bank to 6.44% from 6.17%, according to a regulatory filing on Wednesday.

Northern Rock is accepting bids in a strategic review after the bank nearly collapsed in mid-September when it revealed that it was going to the Bank of England for a credit line because of over-exposure to collateralized debt obligations backed by subprime mortgages.

SRM joined by U.K.-based hedge fund firm RAB Capital, which has over a 6% stake in the bank, have said that the bank should not be quick to accept a takeover or carve out parts when buyers can get it at low prices.

To forestall an old-fashioned “run on the bank,” the central bank extended credit to Northern Rock. As of last week, the bank had used about £25 billion ($52 billion), according to Bloomberg.

The huge amount of debt that Northern Rock has taken on may complicate the bidding process.

Potential bidders for the bank include a consortium led by Sir Richard Branson’s Virgin Group, U.K.-based investment group Olivant Advisors, and two U.S. private equity firms J.C. Flowers & Co. and Cerberus Capital Management.