Overview

• Santander has agreed to buy TSB from Sabadell for £2.65 billion, subject to Sabadell shareholder approval on August 6
• The sale is linked to a special dividend proposal designed to strengthen Sabadell’s capital under integration restrictions
• Patricia Botín says the acquisition will diversify Santander’s revenue, unlock roughly £400 million in synergies and deliver faster returns
• A Spanish takeover rule bars integration of acquired assets for 3–5 years, driving Sabadell’s defensive sale in response to BBVA’s hostile bid
• Santander is weighing retention of the TSB brand and plans to introduce its Openbank digital platform to the UK market