Company: BCDRF
Filing Date: 2025-05-05
Form Type: 6-K
Source: 0000950103-25-005720
Chunk: 3

Company: Banco Santander, S.A.
Filing Date: 2025-05-05
Form: 6-K
Chunk 3
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.comwww.santander.com - Twitter: @bancosantander

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Most of all, a huge thanks to Michał and to each one of our team in Poland for their outstanding contribution to the group over all these years. It has been an honour and a pleasure to work alongside you.”

Financial impact

Upon completion of the transaction, the group will run temporarily with a CET1 ratio above its target operating range of 12-13%, with the aim of returning to the target range over time by deploying capital in line with its capital hierarchy, prioritizing profitable organic growth and investments across its businesses that create a compounding effect on earnings, returns, book value and distributions.

Santander intends to distribute 50% of the capital released from this disposal upon completion, equivalent to approximately €3.2 billion of share buybacks. This will accelerate the delivery of its up to €10 billion share buyback target from 2025 and 2026 earnings and anticipated excess capital. As a result, there is potential to exceed the previously announced share buyback target given the attractiveness of buybacks at current valuations, subject to regulatory approvals 2.

The transaction is expected to be earnings per share accretive by 2027/2028 from the redeployment of capital through a combination of organic growth, share buybacks and any bolt-on transactions that meet the group’s strict strategic and return objectives. The capital released will give Santander more strategic flexibility to invest in other markets where the bank already operates in Europe and the Americas to accelerate growth, increase network revenues and maximise customer and shareholder benefits.

Banco Santander (SAN
SM) is a leading commercial bank, founded in 1857 and headquartered in Spain and one of the largest banks in the world by market capitalization.
The group’s activities are consolidated into five global businesses: Retail & Commercial Banking, Digital Consumer Bank, Corporate
& Investment Banking (CIB), Wealth Management & Insurance and Payments (PagoNxt and Cards). This operating model allows the bank
to better leverage its unique combination of global scale and local leadership. Santander aims to be the best open financial services
platform providing services to individuals, SMEs, corporates, financial institutions and governments. The bank’s purpose is
to help people and businesses prosper in a simple, personal and fair way. Santander is building a more responsible bank and has made a
number of commitments to support this objective, including raising €220 billion in green financing between