Yorkshire Bank completes separation from Australian owners as IPO goes ahead
“TODAY marks a very important milestone in our 177 year history” said Jim Pettigrew, chairman of Yorkshire Bank’s parent company which has become a listed company this morning.
The float of CYBG, which also includes Clydesdale Bank, has resulted from the decision by former owners National Australia Bank (NAB) to exit its UK business through a demerger.
The IPO was delayed at the 11th hour yesterday after a rating agency demanded more financial information . CYBG has now started trading on the London stock market, with its shares priced at 180p – valuing the group at £1.58bn, which will make it a FTSE 250 company.
Mr Pettigrew said: “I welcome our new shareholders and thank them for the confidence they have shown in our business. We embark upon this exciting new chapter for CYBG with a strong customer focussed franchise, a large and loyal customer base and a first class management team determined to deliver on our strategy.”
75% of the group’s share capital was alloted to NAB shareholders with the remaining 25% taken up by institutional investors.
Although the group’s shares had been covered “multiple times” at 180p per share, the price is at the bottom of the 175p-235p range originally announced, which itself was lower than market expectations.
CYBG chief executive David Duffy added: “This is truly a landmark day for CYBG as we move towards becoming an independent banking group for the first time in almost a century and we are delighted to be listing on both the London Stock Exchange and the Australian Securities Exchange.
“CYBG is in great shape to begin this exciting new chapter. With the IPO process successfully behind us, all of our energy will be dedicated to delivering industry leading service for our customers and improved and sustainable returns for our new and future shareholders from around the world.”
