Santander UK PLC - Acquisition of TSB Banking Group plc

Santander UK plc has completed the acquisition of TSB Banking Group plc for £2.65 billion, plus an estimated £213 million for the tangible net asset value variation. The transaction, financed through existing cash resources and parent company funding, is expected to make Santander UK the third-largest bank in the UK for personal current accounts and fourth in mortgages. The integration of TSB into Santander UK is planned for the first half of 2027, pending court sanction and regulatory approval. This acquisition is projected to increase Santander UK's return on tangible equity to 16% by 2028, with cost synergies of at least £400 million. Post-acquisition, Santander UK's CET1 capital ratio will be 14%.