Banco Santander S.A.BNC
▲ PositiveCapitalrelevance
Redeems $1.5B notes early, trimming funding costs.
Impact on stocks 1
Digital Finance & Tokenization
Banco Santander S.A.Banco Santander Redeems $1.5B Notes Ahead of Maturity
Corporate Action
Banco Santander has moved to redeem in full its Series 114 1.722% senior non preferred callable fixed to fixed rate notes, a $1.5 billion issue, ahead of their 2027 maturity. At a share price of €12.87, the bank has eased slightly over the past day but retains strong momentum, with a 21.4% 90-day share price return and a 25.5% year-to-date return. The 1-year total shareholder return of 62.3% and a very large 5-year return point to a stock that has rewarded patient holders even as it redeems expensive debt and pursues growth projects such as its new Miami office tower and customer acquisition campaigns in retail banking. This redemption trims funding costs and follows a strong multi-year share price run. Analysts have a consensus price target of €13.04, with the most bullish at €14.4 and the most bearish at €8.0, while the current P/E of 14.4x is slightly higher than the European banks average of 12.3x and below a fair ratio of 16.9x.
Banco Santander S.A.Redeems $1.5B notes early, trimming funding costs.