This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Lloyds Sells Above-Target Slice of TSB in IPO

Stocks in this article: LYG RBS C JPM

LONDON (The Deal) -- The U.K.'s Lloyds Banking Group  (LYG) on Friday, June 20, confirmed it was on track to sell as much as 38.5% of TSB Banking Group in a London IPO after pricing the shares in the upper half of the original range to assign a market value of £1.3 billion ($2.2 billion) to the business.

TSB shares surged on their debut and by mid-morning in London were trading up more than 13% on their IPO price of 260 pence, at 295.25 pence.

The successful IPO underscores expectations that rising central bank rates and a recovering British economy will stoke consumer lenders' earnings. It may galvanize others in a long line of consumer or small business lenders waiting in the wings to stage London IPOs.

JCFlowers & Co. LLC's OneSavings Bank plc became the first of the current crop to list earlier this month when it made its debut with a market value of £413 million. Other lenders working on IPOs include AnaCap Financial Partners-backed Aldermore Bank; the British unit of Banco Santander; Wilbur Ross-backed Virgin Money Holdings; and Shawbrook Bank Ltd., as well as Royal Bank of Scotland Group's (RBS) Williams Glyn unit.

Lloyds had originally been looking to sell 25% of the spun-off branch network, which it must shed by the end of next year to comply with a European Commission state aid ruling. But it managed to sell 35%, rising to 38.5% if the greenshoe is used. The 260 pence IPO price compares with an original price range of 220 pence and 290 pence, which Lloyds then narrowed to 250 pence to 270 pence.

1 of 2

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,030.21 +6.04 0.03%
S&P 500 2,081.88 -0.29 -0.01%
NASDAQ 4,773.4720 +8.0480 0.17%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs