Powered by MOMENTUM MEDIA
Powered by MOMENTUM MEDIA
subscribe to our newsletter

Vic Supreme Court approves NAB demerger

National Australia Bank’s demerger of its UK subsidiaries has been approved by the Supreme Court of Victoria, following “overwhelming” support from shareholders.

NAB Group chief executive Andrew Thorburn said he was delighted the court had given final approval for the demerger of Clydesdale Bank and Yorkshire Bank to proceed.

“The demerger allows each business to focus on improving performance in their home markets and on business priorities that will maximise value for their respective shareholders,” he said.

“NAB is now in a position to focus all its resources, attention and leadership on the markets most important for us – Australia and New Zealand.”

Commenting on the demerger last month, NAB chairman Ken Henry said the challenges faced by UK banks following the global financial crisis helped motivate the decision to exit the UK market.

Advertisement
Advertisement

PROMOTED FEATURES


“Clydesdale Bank has been a significant factor in NAB shareholder returns not being at the level that we have wanted – not competitive with our Australian peers,” he said.

According to Mr Henry, the demerger will see 75 per cent of a new holding company, CYBG plc – which will own NAB’s Clydesdale and Yorkshire Bank operations – distributed to NAB shareholders.

The remaining 25 per cent of CYBG will be offered to institutional investors through an IPO.

[Related: Major bank’s ‘torturous and expensive journey’]

Vic Supreme Court approves NAB demerger
mortgagebusiness

Latest News

The major bank has reached a settlement with AUSTRAC to pay a record $1.3 billion penalty for over 23 million breaches of anti-money launder...

A mutual lender has signed a deal with a fintech lender to provide them with an initial $300 million in home loan funding. ...

A spike in credit provisions and COVID-related charges has triggered a 16 per cent fall in Heritage Bank’s earnings, offset by asset and d...

FROM THE WEB
podcast

LATEST PODCAST: How lenders are viewing the property price outlook

Do you expect to see strong uptake of the HomeBuilder scheme?

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.