Wealth Manager - the site for professional investment managers

Register to get unlimited access to Citywire’s fund manager database. Registration is free and only takes a minute.

Lloyds to float TSB next month

Lloyds to float TSB next month

Lloyds is to spin-off TSB with the announcement of a public flotation of approximately 25% of the high street bank in June.   

‘TSB has a national network of branches, a strong balance sheet and significant economic protection against legacy issues,’ said Anonio Horta-Osorio, group chief executive of Lloyds.   

‘It is already operating on the UK high street and is proving to be a strong and effective challenger, further enhancing competition in the UK banking sector.’

Retail investors in the initial public offering will be granted one free share for every 20 they buy, up to a limit of £2,000 and subject to a one-year holding period following admission.

The bank said it will target a dividend by 2017. The new business will continue to use Lloyds IT and payment services.

The new bank will have a client base of around 4.5 million investors and 631 high-street branches, making it the seventh largest retail bank in the UK.

The management team, which has been in place since 2011, believe they will be able to deliver 40% to 50% balance sheet growth over the next five years.

‘Today is a significant milestone on our journey to create a major new competitive force in UK banking,’ said TSB Banking Group chief executive Paul Pester.

‘As we prepare for life as an independent, listed entity we are aiming to deliver strong, steady and sustainable growth, over the long-term. 

‘Our straightforward and simple approach to banking is designed to deliver the kind of bank people tell us they want:  every penny our customers deposit with us is used to support mortgages and loans for other TSB customers.’

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Trump protests: Psigma's Becket reports from the US

Trump protests: Psigma's Becket reports from the US

Psigma's chief investment officer Tom Becket encounters a little more than he bargained for in a recent trip to the US.

Play Neil Woodford uncut: the full video

Neil Woodford uncut: the full video

We bring you the full video from Woodford's recent visit to Citywire HQ.

Play What the Next Generation is bringing to the wealth world

What the Next Generation is bringing to the wealth world

To mark Citywire's inaugural Next Generation Forum we ask tomorrow's talent what influence they think they can have on the wealth industry.

Read More
Your Business: Cover Star Club

Profile: Brewin's Newcastle boss on the increasingly competitive NE

Profile: Brewin's Newcastle boss on the increasingly competitive NE

William Baker Baker, Brewin Dolphin’s Newcastle office head, is a fixture in the firm, having been with them for 30 years.

Wealth Manager on Twitter
Retirement income challenge: we need round pegs for round holes
  • Old Mutual Wealth hires adviser distribution specialist
  • Vodafone leads FTSE higher on European turnaround
  • Treasury pushes 'City visa' for financial high fliers
  • Ex-Coutts directors join forces at fledgling wealth boutique
  • Cable becomes new Lib Dem leader
  • Charles Stanley strikes pay deal with Manchester team
  • Wealth boutique hires ex-Close specialist investment head
  • Friday Papers: May pledges no Brexit ‘cliff edge’ for business
  • Overnight Markets: Wall Street flat as Home Depot pressures Dow
  • FTSE rallies as dovish Draghi can't stop euro surge
  • Boutique plans to unitise managed portfolio
  • ‘Brain disorder research’ scheme guilty of tax avoidance
  • Neuberger Berman hires China expert
  • FCA tells property funds to up liquidity management
  • Schroders veteran Tosato among trio of Pictet board hires
  • Wealth Manager's 25 most popular fund managers in H1 2
  • FSCS opens compensation door at failed wealth firm
  • S&W revenue jumps as wealth arm gains momentum
  • Walker Crips poaches Tilney London director 1
  • Robo onslaught continues with two new launches 2
  • Read More