Overview

• Santander has signed a binding agreement to sell nearly half of its Polish banking and asset management operations to Erste Group for approximately €7 billion.
• The transaction will generate a net capital gain of €2 billion and boost Santander’s CET1 capital ratio by around 100 basis points to a pro forma 14%.
• Santander plans to deploy 50% of the freed capital for a €3.2 billion share buyback, accelerating its €10 billion repurchase target for 2025–2026.
• The deal includes a strategic partnership with Erste, granting Erste access to Santander’s investment banking and payment platforms.
• Santander will retain a 13% stake in Santander Polska and intends to fully acquire its Polish consumer finance unit before the deal closes.