Banco Sabadell has resolved to call an extraordinary general meeting of shareholders to authorize TSB sale, payment of extraordinary dividend

Banco Sabadell has resolved to call an extraordinary general meeting of shareholders to authorize TSB sale, payment of extraordinary dividend

Banco Sabadell has announced an extraordinary general meeting of shareholders to authorize the sale of its U.K. unit, TSB, and the payment of an extraordinary dividend. The meeting is scheduled for July 24, 2025, following the bank's consideration of offers from Banco Santander and Barclays to acquire TSB [1].

The decision to call this meeting comes amidst a complex situation involving potential hostile takeover bids and regulatory conditions. Banco Sabadell is reportedly accepting offers for TSB through June 27, with a likely decision on the sale by July 24 [1]. The bank's CEO, Cesar Gonzalez-Bueno, has stated that Sabadell will only sell TSB if the deal "makes sense" [1].

BBVA, a rival of Sabadell, is also pressing ahead with its hostile takeover bid, despite the Spanish government imposing conditions on the merger that include a deferral of full integration for three to five years [2]. The conditions have dampened market expectations and caused Sabadell's shares to reverse course, becoming one of the weakest performers in a key European banking index [1].

Banco Santander has approached Sabadell regarding a potential takeover of TSB, which originated as the Trustee Savings Bank in Dumfriesshire in 1810 and currently serves 5 million customers across the UK [3]. The acquisition of TSB would support Santander's UK retail banking business, which currently serves ~14 million customers across its roughly 350 UK branches. Santander has not yet made a formal offer and may still withdraw from the bidding process.

The extraordinary general meeting is a significant step for Banco Sabadell, as it seeks to navigate the complex landscape of potential acquisitions and regulatory conditions. The bank's shareholders will have the final say on the sale of TSB and the payment of an extraordinary dividend.

References:
[1] https://www.pymnts.com/news/banking/2025/banco-sabadell-considers-offers-for-uk-unit-tsb/
[2] https://thecorner.eu/news-spain/spain-economy/bbva-maintains-hostile-takeover-bid-for-sabadell-which-must-decide-on-tsb-sale/120984/
[3] https://finance.yahoo.com/news/santander-eyes-tsb-acquisition-banco-195218975.html