Company: LLOBF
Filing Date: 2025-02-25
Form Type: 424B2
Source: 0000950103-25-002401
Chunk: 122

Company: Lloyds Banking Group plc
Filing Date: 2025-02-25
Form: 424B2
Chunk 122
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The number of Settlement Shares to be issued to
the Settlement Share Depository on the Conversion Date will be determined by LBG by dividing the aggregate principal amount of the Additional
Tier 1 Securities outstanding immediately prior to the Automatic Conversion on the Conversion Date by the Conversion Price prevailing
on the Conversion Date. The number of Settlement Shares to be delivered to each holder shall be rounded down, if necessary, to the nearest
whole number of Settlement Shares. Fractions of Settlement Shares will not be delivered to the Settlement Share Depository following the
Automatic Conversion and no cash payment will be made in lieu thereof. The number of Settlement Shares to be held by the Settlement Share
Depository for the benefit of each holder shall be the number of Settlement Shares thus calculated divided by the Tradable Amount of the
book-entry interests in the Additional Tier 1 Securities held by such holder on the Conversion Date rounded down, if necessary, to the
nearest whole number of Settlement Shares.

The Settlement Shares issued upon Automatic Conversion
will be fully paid and non-assessable and will in all respects rank pari passu with the Ordinary Shares in issue on the Conversion
Date, except in any such case for any right excluded by mandatory provisions of applicable law, and provided that any Settlement Shares
so issued will not rank for (or, as the case may be, the relevant holder shall not be entitled to receive) any rights, the Record Date
for entitlement to which falls prior to the Conversion Date. For as long as the Settlement Shares are held by the Settlement Share Depository,
each holder of the Additional Tier 1 Securities shall be entitled to direct the Settlement Share Depository to exercise on its behalf
all rights of an ordinary shareholder (including voting rights and rights to receive dividends) except that holders shall not be able
to sell or otherwise transfer such Settlement Shares unless and until such time as they have been delivered to holders in accordance with
“—Settlement Procedures” below.

Settlement Shares Offer

Within ten (10) Business Days following the Conversion
Date, LBG may, in its sole and absolute discretion, elect that the Settlement Share Depository (or an agent on its behalf) make an offer
of, in LBG’s sole and absolute discretion, all or some of the Settlement Shares to, at LBG’s sole and absolute discretion,
all or some of LBG’s ordinary shareholders upon Automatic Conversion, such offer to be at a cash price per Settlement Share that
will be no less than the Conversion Price (the “Settlement