Lloyds to sell remaining stake in St James’s Place

Lloyds Banking Group is set to offload its remaining 21 per cent stake in St James’s Place.

The bank is seeking institutional shareholders to participate in a share placing for its remaining stake in the wealth management firm.

Lloyds had a 57 per cent stake in the firm at the start of the year, but offloaded tranches of shares in March and May.

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The announcement today comes at the end of a 180 day holding period during which Lloyds could not sell any more of its stake, which was agreed between Lloyds and Bank of America Merrill Lynch at the time of the last share placing in May.

Lloyds said it should “realise a gain” of £95m from selling its remaining stake and said the sale will increase its tier 1 capital by £670m.

Shares in St James’s Place are currently trading at 643p, down from its peak of 679p in November but still 60 per cent up in the past year and up 135 per cent in the past three years.