Lloyds Bank's sale of 35% of TSB shares is an "important step" for the company, according to chief executive Antonio Horta-Osorio.
The sale of the shares follows a 2009 decision by the European Commission to force the sell-off of TSB in order to increase competition in the UK banking sector.
Lloyds will have to sell off the remainder of its shares in TSB by the end of next year as part of the ruling.
Mr Horta-Osorio welcomed the move, saying: "The successful initial public offering of TSB is an important further step for Lloyds Banking Group as we act to meet our commitments to the European Commission."
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