17 December 2017
visit www.ebaday.com

Sabadell in line for £450 million IT sweetener in TSB takeover

12 March 2015  |  6791 views  |  0 TSB

Banco Sabadell stands to benefit from a £450 million 'IT dowry' bequeathed by Lloyds Banking Group if its proposed £1.7 billion takeover of TSB is approved.

As part of its IPO of 25% of TSB last year, Lloyds included a provision to pay up to £450m of integration costs in the event TSB decided to change its technology platform or was taken over.

The payment, which was approved by the European Commission and HM Treasury, is intended to cover the costs Lloyds could have spent building a new IT platform when it carved TSB out of its own business.

Lloyds instead opted to provide TSB with a carbon copy of its own technology platform.

TSB says it is minded to accept Sabadell's offer of 340 pence a share, noting the Spanish bank's track record of "successful business and IT integrations".

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Banco Sabadell unveils mobile wallet

Banco Sabadell unveils mobile wallet

03 March 2015  |  5768 views  |  0 comments | 5 tweets | 9 linkedin
TSB wades into bank branch debate

TSB wades into bank branch debate

26 February 2015  |  6462 views  |  0 comments | 6 tweets | 11 linkedin
Sabadell opens API to developers in first hackathon

Sabadell opens API to developers in first hackathon

10 September 2014  |  8471 views  |  1 comments | 8 tweets | 6 linkedin
TSB chief uses Twitter to blame HP server for IT meltdown

TSB chief uses Twitter to blame HP server for IT meltdown

27 January 2014  |  8793 views  |  5 comments | 12 tweets | 8 linkedin
Banco Sabadell launches start-up programme

Banco Sabadell launches start-up programme

14 November 2013  |  4336 views  |  0 comments | 6 tweets | 4 linkedin
Lloyds 'seamless transition' to TSB comes unstuck

Lloyds 'seamless transition' to TSB comes unstuck

09 September 2013  |  6730 views  |  2 comments | 4 tweets | 1 linkedin
Banco Sabadell moves into mobile point-of-sale market

Banco Sabadell moves into mobile point-of-sale market

03 July 2013  |  7267 views  |  0 comments | 4 tweets | 3 linkedin
Lloyds plans IPO for TSB branch network after Co-op pulls out of deal

Lloyds plans IPO for TSB branch network after Co-op pulls out of deal

24 April 2013  |  5732 views  |  0 comments | 2 tweets | 4 linkedin
Mobile to become mainstream banking channel - Sabadell

Mobile to become mainstream banking channel - Sabadell

29 July 2011  |  17294 views  |  3 comments | 1 tweets

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.niceactimize.comvisit www.thomsonreuters.infovisit www.response.ncr.com

Top topics

Most viewed Most shared
satelliteRipple completes XRP Lockup
10650 views comments | 3 tweets | 2 linkedin
PSD2: Laying the regulatory foundation for a new age in paymentsPSD2: Laying the regulatory foundation for...
10297 views comments | 18 tweets | 36 linkedin
Banks tap Ethereum smart contracts for MiFID II complianceBanks tap Ethereum smart contracts for MiF...
7684 views comments | 10 tweets | 10 linkedin
Banks and fintech startups join forces on blockchain-based supply chain pilotBanks and fintech startups join forces on...
7349 views comments | 19 tweets | 22 linkedin
hands typing furiouslyReshaping Customer Engagement & Da...
6771 views 0 | 4 tweets | 2 linkedin

Featured job

Find your next job