NOTE! This site uses cookies

By continuing to browse the site you are agreeing to our use of cookies. For more detalis, see Read more

Accept

What are you looking for?

Catalan banking group Sabadell has already bought 81.23% shares of British TSB bank

Last April, Banc Sabadell filed a takeover offer on 100% of the shares of the UK lender TSB, partially owned by LLoyds. On Monday, the Catalan bank announced it had already exceeded the 75% minimum bid of the takeover offer, reaching 81.23% of TSB shares. However, this percentage is still likely to increase in the upcoming days, since there are 14 remaining days till the end of the takeover's acceptance period. In order to fund the transaction, the Catalan corporation will carry out a €1.61 billion capital increase (€1,607 million). Current shareholders have a preference call in this capital increase. Banc Sabadell, is one of the few banks to emerge stronger from a financial crisis that has redrawn Spain’s banking sector. Unlike many of its Spanish rivals, the bank is in good shape reporting a 50% increase in annual profits at the end of 2014 to €371.7 million. Since 2007, it has doubled in size and is now Spain’s 5th largest bank. It achieved this mainly through an energetic programme of acquisitions in Spain and abroad. 

SHARE

11 May 2015 04:47 PM

by

ACN

Barcelona (ACN).- Last April, Banc Sabadell filed a takeover offer on 100% of the shares of the UK lender TSB partially owned by LLoyds. On Monday, the Catalan bank, chaired by Josep Oliu, announced it had already exceeded the 75% minimum bid of the takeover offer, reaching 81.23% of TSB shares. However this percentage is still likely to increase in the upcoming days, since there are 14 remaining days till the end of the takeover's acceptance period. In order to fund the transaction, the Catalan corporation will carry out a €1.61 billion capital increase (€1,607 million). Current shareholders have a preference call in this capital increase. Banc Sabadell, is one of the few banks to emerge stronger from a financial crisis that has redrawn Spain’s banking sector. Unlike many of its Spanish rivals, the bank is in good shape reporting a 50% increase in annual profits at the end of 2014 to €371.7 million. Since 2007, it has doubled in size and is now Spain’s 5th largest bank, the 3rd one in Catalonia. It achieved this mainly through an energetic programme of acquisitions in Spain and abroad. 


The aquisition of the British bank TSB by Banc Sabadell has no turning back after Friday 8th May. "At this point it will have accumulated 81.23% of the shares as part of the process of a public offer to purchase shares launched on 17 April, announced Banc Sabadell on Monday to the Spanish Stock Market Regulation Authority (CNMV). The Catalan bank had conditioned the takeover bid of the purchase for an offer of at least 75% of the capital. On Monday, Banc Sabadell emphasised that "the acceptance condition has now been satisfied and the offer has become unconditional as to acceptances".

This Friday, it had 356,167,981 shares of TSB, representing 71.23% of the British bank's capital. If these actions add the purchase of 49,999,999 shares of TSB made on the 24th March this year, the capital belonging to Sabadell rises to 81.23%. On the day of Banc Sabadell's definitive announcement, the value of its shares initially increased by more than 4% on the stock market. Such a strategic purchase will significantly strengthen Banc Sabadell's internationalisation, dramatically increasing its presence in the United Kingdom.

The process of the takeover bid continues and is still open to new approvals of holders of shares that have not yet accepted the offer. Banc Sabadell has announced that the organisation will give a minimum period of 14 days to accept the offer before the end of the bidding period.

SHARE

  • Banc Sabadell's main offices in Barcelona (by ACN)

  • Banc Sabadell's main offices in Barcelona (by ACN)