Latest news with #AnaBotín
Yahoo
17-07-2025
- Business
- Yahoo
Banco Santander, S.A. (SAN) Boosts UK Presence With TSB Bank Acquisition
Banco Santander, S.A. (NYSE:SAN) is among the 13 Best Booming Stocks to Buy Now. On July 1, the company announced that it had reached an agreement to acquire a 100% stake in TSB Banking Group plc in an all-cash transaction for £2.65 billion, subject to approval from Sabadell's shareholders. A view of a large corporate office building, illuminated at night to show its power and reach. The acquisition will bolster the Spanish lender's presence in the UK, with an inflow of approximately 5 million TSB customers, who keep around £35 billion in deposits. The combined entity will enable Banco Santander, S.A. (NYSE:SAN) to become the third-largest bank in the country by personal current account balances. The takeover comes at a time when Banco Santander, S.A. (NYSE:SAN)'s UK business is booking subpar profits compared to its overall returns. Earlier this year, Reuters reported that the bank was reviewing its presence in the country, with a pullback being among the options. Ana Botín, Banco Santander, S.A. (NYSE:SAN)'s executive chair, stated the following on the acquisition: 'The acquisition of TSB represents a continuing strategic commitment to our customers in the UK, offering a compelling opportunity that is financially attractive to our shareholders and aligned with Santander's long-term objectives. It strengthens our franchise in a core market through the acquisition of a low-risk and complementary business that adds to our diversification.' Banco Santander, S.A. (NYSE:SAN) is a Spanish multinational financial services company, offering services such as deposits, mutual funds, current and savings accounts, loans, and various other financing solutions. The stock has returned 99% so far in 2025. While we acknowledge the potential of SAN as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 13 Best German Stocks to Invest in Now and Goldman Sachs Stock Portfolio: 10 Large-Cap Stocks To Buy. Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
The Guardian
02-07-2025
- Business
- The Guardian
Santander takeover of TSB is boost to Reeves as she fights to keep City's trust
Santander's takeover of TSB will be music to Rachel Reeves' ears: sparing the under-pressure chancellor the potential embarrassment of having to explain why a major high street lender had given up on Britain. On Tuesday night, Spanish-owned Santander said it would buy TSB from its fellow Spanish owner, Sabadell, for £2.65bn, ending months of speculation over the future of the British bank – and reaffirming Santander's commitment to the UK. Rumours had emerged in January that Santander UK could pull out of high street banking, potentially reversing gains made in stepping up its British presence with the acquisition of Abbey National two decades earlier. Bosses had started slashing 2,000 jobs months earlier, fuelling speculation that it was trying to create a leaner business that could lure potential suitors. The chatter sparked panic, feeding into a growing existential crisis over whether allegedly burdensome regulation was driving potential investment and foreign firms away from the City – which was already losing stock market listings and floats to foreign rivals . Publicly, Santander repeated that the UK was a core market, with 14 million customers served through 350 branches and 18,000 staff. But in Madrid, executives led by executive chair Ana Botín, were said to be increasingly frustrated over UK regulations and costs that were dampening profitability. That included post-financial crisis rules such as ring-fencing, which protect and separate consumer deposits from riskier operations including investment banking, but are criticised as costly and complex by banks. Meanwhile, Santander's frustrations were compounded by the car finance commission scandal, which could lead to a £1.9bn compensation bill for the bank's aggrieved borrowers. Reeves and her Labour government, however, appeared alive to the threats. Months earlier, the chancellor had ordered City watchdogs to do more to promote growth and competition, including by watering down financial crisis regulation that she claimed had 'gone too far'. By late January, the chancellor was attempting to intervene in a supreme court case over the car finance scandal, concerned it could curb lenders' activities. Days after her intervention emerged, Reeves met with Botín on the sidelines of the World Economic Forum in Davos, Switzerland. While in the Swiss Alps, Botín declared: 'We love the UK, it is a core market and will remain a core market for Santander. Punto [fullstop], that's it.' Speculation of its sale continued to swirl, but Santander finally put its money where its mouth is: agreeing to buy TSB from Spanish rival Sabadell in a deal that could eventually hit £2.9bn if the smaller bank's profits meet forecasts. For Santander, the takeover will help fend off competition from the likes of Nationwide Building Society, which has been nipping at the bank's heels after its own £2.9bn acquisition of rival Virgin Money. It will add 5 million customers to its books, and make Santander the fourth largest mortgage provider and third largest bank in terms of personal current account deposits, behind Lloyds and NatWest. But for TSB, the future of its 5,000 staff and 175 branches is at stake. Santander will have to consider how to strip out duplicate roles and branches and whether to scrap the 215-year history old TSB brand, which could disappear from UK high streets following the takeover. Santander bosses told analysts on Tuesday night that they were aware of duplications, including 'overlapping branches'. Meanwhile, unions have been holding urgent talks with TSB to try to get some clarity for staff, who have been subject to a tumultuous 12 years, marked by ownership upheavals and a disastrous IT meltdown that tarnished its reputation for years. Hived off from Lloyds Banking Group as part of state-aid rules following its £20.3bn government bailout in 2008, TSB again became a standalone brand and floated on the London stock exchange in 2014. It was delisted following its takeover by Spanish lender Sabadell in 2015, in a major cross border deal that the Treasury hailed as a 'vote of confidence' in the UK. But the party did not last. As soon as 2020, Sabadell began exploring a sale of TSB after the botched launch of a new IT system two years earlier sparked a tech meltdown, locking millions of customers out of their bank accounts. It caused a customer exodus, executive resignations, financial losses and a £48m fine from regulators. Sabadell eventually swallowed the losses, and was heartened by TSB's recovery, even rebuffing a £1bn approach by the Co-operative Bank in 2022. It took a hostile bid for Sabadell by Spanish rival BBVA for the bank to reconsider a sale, with proceeds from TSB's sale due to be distributed among shareholders who it hopes will see less benefit in agreeing to the takeover. But Sabadell's loss could be Santander's gain, and provide a timely boost for Reeves as she fights to keep the trust of the City courted on the election campaign trail amid a gloomy economic outlook.
North Wales Chronicle
02-07-2025
- Business
- North Wales Chronicle
TSB to be sold to rival Santander for £2.65billion
The deal to acquire TSB from the Spanish parent firm of TSB, Sabadell, beating rival Barclays, was confirmed today (July 1). Santander intends to integrate TSB into the Santander UK group, meaning it would become the second-largest bank in the country. Bosses say the deal is 'aligned with Santander's long-term objectives'. However, the final transaction remains subject to regulatory approvals and Sabadell shareholder approval. The full transaction is expected to be completed in the first quarter of 2026. TSB already has a nationwide network of 218 branches and outlets, and a growing digital presence. It serves around five million customers, with £34 billion in mortgages and £35 billion in deposits. But with the latest buyout news, TSB combined with Santander would serve nearly 28 million retail and business customers nationwide. Santander has in the past year entertained bids from both NatWest and Barclays for its UK retail arm. Ana Botín, Banco Santander's executive chair, said: "The acquisition of TSB represents a continuing strategic commitment to our customers in the UK, offering a compelling opportunity that is financially attractive to our shareholders and aligned with Santander's long-term objectives. "It strengthens our franchise in a core market through the acquisition of a low-risk and complementary business that adds to our diversification. "We are creating a stronger and more competitive business across key products such as personal current accounts where the combined business will become the second largest bank in the UK by market share. "The transaction will accelerate our path to greater profitability in the UK and helps achieve a return on tangible equity of 16% by 2028. "The acquisition also reflects our commitment to growing profitably through disciplined capital allocation. This acquisition meets our goal of achieving a return on investment above 20% and EPS accretion from year 1, while consuming limited capital and having low execution risk. Recommended reading: Nationwide offering fresh £280 in free bonuses to thousands of customers July Premium Bond winners have been announced - have you won £1 million O2 customers unable to make or receive calls as network 'working to get this fixed' "Furthermore, the transaction will not affect Santander's existing distribution policy and 2025 targets.' CEO of Santander UK, Mike Regnier, said he hoped they could become "the best bank for UK customers". He added: "This is an excellent deal for customers combining two strong and complementary banks, creating one of the most substantial banks in the UK and materially enhancing the competitiveness of the industry. 'At Santander UK we have momentum in our strategy to become the best bank for customers in the UK by investing in technology and service and improving our processes and efficiency." Marc Armengol, TSB CEO, said: 'TSB is a truly special bank, run by a first-class team that deliver trusted service and support for customers, day in and day out. "Today's announcement represents the next exciting chapter for this successful business, as part of Santander Group, a highly regarded banking group. "I believe this will prove to be an excellent fit for our loyal customers.'
South Wales Guardian
01-07-2025
- Business
- South Wales Guardian
TSB to be sold to rival Santander for £2.65billion
The deal to acquire TSB from the Spanish parent firm of TSB, Sabadell, beating rival Barclays, was confirmed today (July 1). Santander intends to integrate TSB into the Santander UK group, meaning it would become the second-largest bank in the country. Bosses say the deal is 'aligned with Santander's long-term objectives'. However, the final transaction remains subject to regulatory approvals and Sabadell shareholder approval. The full transaction is expected to be completed in the first quarter of 2026. TSB already has a nationwide network of 218 branches and outlets, and a growing digital presence. It serves around five million customers, with £34 billion in mortgages and £35 billion in deposits. But with the latest buyout news, TSB combined with Santander would serve nearly 28 million retail and business customers nationwide. Santander has in the past year entertained bids from both NatWest and Barclays for its UK retail arm. Ana Botín, Banco Santander's executive chair, said: "The acquisition of TSB represents a continuing strategic commitment to our customers in the UK, offering a compelling opportunity that is financially attractive to our shareholders and aligned with Santander's long-term objectives. "It strengthens our franchise in a core market through the acquisition of a low-risk and complementary business that adds to our diversification. "We are creating a stronger and more competitive business across key products such as personal current accounts where the combined business will become the second largest bank in the UK by market share. "The transaction will accelerate our path to greater profitability in the UK and helps achieve a return on tangible equity of 16% by 2028. "The acquisition also reflects our commitment to growing profitably through disciplined capital allocation. This acquisition meets our goal of achieving a return on investment above 20% and EPS accretion from year 1, while consuming limited capital and having low execution risk. Recommended reading: Nationwide offering fresh £280 in free bonuses to thousands of customers July Premium Bond winners have been announced - have you won £1 million O2 customers unable to make or receive calls as network 'working to get this fixed' "Furthermore, the transaction will not affect Santander's existing distribution policy and 2025 targets.' CEO of Santander UK, Mike Regnier, said he hoped they could become "the best bank for UK customers". He added: "This is an excellent deal for customers combining two strong and complementary banks, creating one of the most substantial banks in the UK and materially enhancing the competitiveness of the industry. 'At Santander UK we have momentum in our strategy to become the best bank for customers in the UK by investing in technology and service and improving our processes and efficiency." Marc Armengol, TSB CEO, said: 'TSB is a truly special bank, run by a first-class team that deliver trusted service and support for customers, day in and day out. "Today's announcement represents the next exciting chapter for this successful business, as part of Santander Group, a highly regarded banking group. "I believe this will prove to be an excellent fit for our loyal customers.'
Rhyl Journal
01-07-2025
- Business
- Rhyl Journal
TSB to be sold to rival Santander for £2.65billion
The deal to acquire TSB from the Spanish parent firm of TSB, Sabadell, beating rival Barclays, was confirmed today (July 1). Santander intends to integrate TSB into the Santander UK group, meaning it would become the second-largest bank in the country. Bosses say the deal is 'aligned with Santander's long-term objectives'. However, the final transaction remains subject to regulatory approvals and Sabadell shareholder approval. The full transaction is expected to be completed in the first quarter of 2026. TSB already has a nationwide network of 218 branches and outlets, and a growing digital presence. It serves around five million customers, with £34 billion in mortgages and £35 billion in deposits. But with the latest buyout news, TSB combined with Santander would serve nearly 28 million retail and business customers nationwide. Santander has in the past year entertained bids from both NatWest and Barclays for its UK retail arm. Ana Botín, Banco Santander's executive chair, said: "The acquisition of TSB represents a continuing strategic commitment to our customers in the UK, offering a compelling opportunity that is financially attractive to our shareholders and aligned with Santander's long-term objectives. "It strengthens our franchise in a core market through the acquisition of a low-risk and complementary business that adds to our diversification. "We are creating a stronger and more competitive business across key products such as personal current accounts where the combined business will become the second largest bank in the UK by market share. "The transaction will accelerate our path to greater profitability in the UK and helps achieve a return on tangible equity of 16% by 2028. "The acquisition also reflects our commitment to growing profitably through disciplined capital allocation. This acquisition meets our goal of achieving a return on investment above 20% and EPS accretion from year 1, while consuming limited capital and having low execution risk. Recommended reading: Nationwide offering fresh £280 in free bonuses to thousands of customers July Premium Bond winners have been announced - have you won £1 million O2 customers unable to make or receive calls as network 'working to get this fixed' "Furthermore, the transaction will not affect Santander's existing distribution policy and 2025 targets.' CEO of Santander UK, Mike Regnier, said he hoped they could become "the best bank for UK customers". He added: "This is an excellent deal for customers combining two strong and complementary banks, creating one of the most substantial banks in the UK and materially enhancing the competitiveness of the industry. 'At Santander UK we have momentum in our strategy to become the best bank for customers in the UK by investing in technology and service and improving our processes and efficiency." Marc Armengol, TSB CEO, said: 'TSB is a truly special bank, run by a first-class team that deliver trusted service and support for customers, day in and day out. "Today's announcement represents the next exciting chapter for this successful business, as part of Santander Group, a highly regarded banking group. "I believe this will prove to be an excellent fit for our loyal customers.'
