NatWest Buys Back Stock Worth £1.26B From UK Government, Reduces Latter's Stake to 38.6%

NatWest Group PLC NWG disclosed buying back its shares worth £1.26 billion from the UK government.
The off-market purchase amounts to NWG's stock at 268.4 pence per share as of the close of trading on May 19, 2023.
The purchase would have reduced NWG's CET1 ratio (14.4% on March 31 2023) by 71 basis points. As of March 31, 2023, tangible net assets value stood at 278 pence.
NWG plans to cancel 336 million shares and expects to hold the remaining 133 million in treasury.
The transaction, approved by both parties in February 2019, will reduce the government's stake in the company to around 38.6% from 41.4%.
The settlement of the purchase, which represents 4.95% of NWG's Share capital, is expected to complete on May 24 2023.
The transaction marks the government's sixth block sale of NWG shares to date and is part of its target to return NatWest to private ownership entirely by 2026, as per Reuters.
Price Action: NWG shares closed higher by 0.60% at $6.72 on Friday.