“The new offer, consisting of 1 new action of BBVA per 4.8376 shares of Banco Sabadellit represents a 10% increase and is exceptionally attractive to Banco Sabadell shareholders, “says the Basque entity in a statement in which it revalues its Catalan rival at 19.5 billion euros (22.8 billion dollars).
As indicated, the new offer would grant Sabadell’s shareholders “a 15.3% participation in BBVA, thus benefiting from the enormous value generated by the Union project.”
The bank also specifies that it renounces “both to the possibility of making new improvements in the consideration of the offer and to expand the acceptance period”, closing the door to raise its proposal again.
The new offer “means assessing the action of Banco Sabadell at 3.39 euros per share, that is, at maximum levels in more than a decade,” says the Basque entity. Sabadell’s shareholders who have already decided to accept the proposal “will also benefit from the new improved conditions,” he says equally.
“In addition, the consideration becomes entirely in actions, so the shareholders who had capital gains would not be taxed in Spain if the acceptance exceeds 50% of the Voting Rights of Banco Sabadell, given that the operation would be fiscally neutral,” says BBVA, second Spanish bank with more than 78 million clients in 25 countries and a strong implementation in Latin America.
The CEO of Sabadell, César González-Bueno, however described as “bad” and “very weak” the new offer, in statements to the Radio Onda Cero.
“It is worse than the first and we must bear in mind that we have revalued,” he added.
Uncertain outcome
The OPA, announced in May 2024, was launched last September 8 and could create a European giant in the sector. But many market actors see it with bad eyes.
The Board of Directors of Sabadell, the fourth bank of the country, rejected the offer, considering that it undervalued “very significantly” to the entity, and recommended that its shareholders not accept it.
Sabadell, who seeks to derail the OPA, sold his British subsidiary TSB to Banco Santander for 3,100 million euros and promised record remuneration for his shareholders, thanks especially to this assignment.
