Banco Santander Share Discussion Threads

[cwa1] 09/5/2014 07:50

A largish chunk of additional Tier 1 funding has been raised:-

MATERIAL FACT

Further to the material fact notified earlier today, Banco Santander, S.A. ("Banco Santander" or the "Bank") informs that, following completion of the accelerated bookbuilding process, the final terms and conditions of the issue of contingent perpetual preferred securities convertible into newly issued ordinary shares of Banco Santander (the "Issue" and the "PCCS"), for a nominal value of U.S. $ 1,500,000,000, have been approved.

The PCCS will be issued at par and its remuneration, whose payment is subject to certain conditions and to the discretion of the Bank, has been set at 6.375% on an annual basis for the first five years. After that, it will be reviewed by applying a margin of 478.8 basis points on the five-year Mid-Swap Rate.

Banco Santander has requested the Bank of Spain to qualify the PCCS as additional tier 1 under the European Regulation 575/2013. The PCCS are perpetual although they may be called under certain circumstances and would be converted into newly issued ordinary shares of Banco Santander if the common equity Tier 1 ratio of the Bank or its consolidated group, calculated in accordance with European Regulation 575/2013, were to fall below 5.125%. An application will be made for the PCCS to be admitted to trading on the Global Exchange Market of the Irish Stock Exchange.

[dendria] 08/5/2014 17:03

SAN straight through $10.00 - can it hold this time?

[its the oxman] 03/5/2014 22:33

Next few years look good for BNC. Will be going higher as growth picks up.

[dendria] 01/5/2014 20:53

SAN touches $10.00

[pvb] 29/4/2014 11:29

Madrid, April 29, 2014 - Banco Santander made an attributable profit of EUR 1.303 billion in the first quarter of 2014, an increase of 8% compared with the same quarter last year. Chairman Emilio Botín said: "2014 has started out with higher revenues, lower costs and provisions and more satisfied customers, which results in more profits."

[dendria] 29/4/2014 08:04

Bloomberg comments on Q1 2014 results:

Banco Santander SA (SAN), Spain's biggest bank, reported first-quarter profit that beat estimates on increased U.K. income and announced a 4.7 billion-euro ($6.52 billion) bid to buy remaining shares in its Brazil unit.

[hvs] 28/4/2014 18:50

Keep well away.

NOTHING LEARNED

and SPAIN is still a dog foget BRAZIL.

[pvb] 28/4/2014 17:06

First quarter results presentation tomorrow.

[dendria] 10/4/2014 18:26

Scrip is 1 for 47.

[cwa1] 10/4/2014 13:29

Thanks again, appreciated.

[dendria] 10/4/2014 08:55

Scrip shares from 9 May (Cash 2 May).

[cwa1] 10/4/2014 08:40

Thanks dendria. Do you know the pay day? Cheers.

[dendria] 10/4/2014 08:22

BNC going ex-div on Mon 14 April (SAN went ex-div in US yesterday Wed 9 April).

[pvb] 04/4/2014 16:29

Press release 28 March :

"Emilio Botín: "We are prepared to make the most of all the opportunities for growth within our reach"

[leedslad001] 01/4/2014 21:31

£7 NEXT TARGET

[m1das_touch] 01/4/2014 21:09

Indeed - I was hoping to top up with my new ISA allowance before that happened, chart looks strong now.

[dendria] 01/4/2014 20:59

SAN quietly breaks out and heads towards $10...

[aileron] 01/4/2014 16:08

We are now at a two year high.

[its the oxman] 01/4/2014 11:54

Just re read the recent very up beat AGM statement re improving performance to be reflected in next few quarters results and years. Made excellent start to year etc. Could give us the momentum to break through 600p.

[oniabsta] 31/3/2014 14:58

pvb
Thanks for all the info, I've printed it off and will look through it tonight.
In the meantime I took the plunge and invested,glad I did as I'm already in profit :-)

[pvb] 31/3/2014 12:41

OK if your broker allows this! *

Probably the simplest option is to hold BNC outside an ISA, unless you are using a Santander Sharedealer account ISA.

I am increasingly worrying about those Verizon shares... :-(


* A very cynical view might lead one to speculate as to whether the broker does just this with their nominee shares. Accept the scrip dividend (no 21% Witholding Tax), not allow their clients to accept the scrip but have to take the dividend in cash and sell BNC shares to generate the cash for the clients dividend (net 21%) - that would be about a 20% turn on the dividend.

Not that I am suggesting anyone would actually do that, you understand. Would it even be 'legal'?

[acamas] 31/3/2014 12:32

Why not take the script issue everytime and sell off a few shares to create a dividend equalling sum of money inside an ISA?

[pvb] 31/3/2014 11:20

Hmm...

I think the changes brought in mean only that the maximum Witholding Tax owed by a UK resident has been reduced from 15% to 10%, I don't think anything is new apart from that.

There are differing opinions about holdings in an ISA, certainly an ISA won't be recognised by any foreign administration (apparently this may not always be the case with a SIPP). So the reduced taxation would need to be claimed from the foreign tax authority. Some people think this is not possible via an ISA, some say it is more trouble than it is worth, some say it is OK. Take your pick!

Interestingly, my ISA broker recently sent me a US W8-BEN form for the US IRS for Verizon shares, so...?

I think you would need to contact your ISA administrator to see if they will be helpful as they will not do anything automatically. Tax Form 210 would need to be filled in and sent to the Spanish tax authority.

It seems likely you should in principal be able to reclaim tax and only have to pay 10% Spanish Witholding Tax on BNC shares in an ISA, but it may all be down to the ISA administrator whether you can or not.

[pvb] 30/3/2014 23:00

Thank you for bringing this to our attention oniabsta, I must say I had not heard about it before. I don't know anything about it currently. I will try to look into it.

The situation used to be that the 21% Spanish Witholding Tax was witheld from BCN dividends. Outside an ISA this could be reduced to I believe 15% by putting in a suitable double taxation claim form, something like the US W8-BEN form I expect. But, in an ISA this could not be reclaimed and the only way of avoiding the full 21% was if you took the BCN scrip dividend option when offered, if your broker allowed this. Unfortunately mine doesn't.

On the Santander shareholders website they say the company will complete Tax Form 210 for you (as beneficial owner), but of course this assumes you hold your shares via the Santander Sharedealing nominee account. So that doesn't help!



This all reminded me that it might be best if I sold the BCN shares in my ISA and repurchased outside.