Santander may look to London float to raise capital
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Santander may be preparing a £20bn float on the London Stock Exchange in an attempt to raise capital after expanding its business across Europe.
According to Spanish business newspaper Expansion, the Spanish bank may sell off 20 per cent of its UK business - made up of Abbey, Bradford & Bingley and Alliance & Leicester - after recent acquisitions in the UK, Germany and Poland.
Last month Santander UK bought 318 RBS branches around the UK for £1.65bn.
Evolution Securities head of banking Arturo De Frias told the paper: “Assuming a 15 per cent discount on the value of the subsidiary, the initial public offering would be around £3.3bn.”
He added that he thinks the handover of 20 per cent of Santander UK will occur by the end of the year.
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