BBVA leads falls in the Spanish stock market due to interest in buying Sabadell, which rises

The bank’s action BBVAwith an important presence in Latin America, led the list of companies with losses on the Spanish stock market, falling 3.84%, after knowing the details of the proposed merger with Banco Sabadell presented yesterday, according to market data.

At the end of the stock market trading, each security of the BBVA It was traded at 9.784 euros, with a loss of 0.391 euros, equivalent to that 3.84%, although in the accumulated value of the year the financial institution revalued almost 23.31%.

For his part, the Sabadell Bank It gained 3.56% (third highest rise on the Spanish index, IBEX 35) after each of its titles gained 0.064 euros and ended the day at 1.86 euros. During the year he leads the rises of the IBEX with an accumulated gain of 70.64%.

Yesterday, with the stock market closed for a holiday, the BBVA communicated the details of the offer to take over 100% of Sabadell, which would make it the second largest bank in Spain and the third largest bank in Europe, only behind BNP Paribas and Santander.

Furthermore, according to BBVA, the new entity would become one of the largest and most solid financial entities in Europe, with total assets of over one trillion euros and more than 100 million clients worldwide, with the ambition of being the largest bank by market capitalization in the euro zone.

The entity offers a share exchange with a 30% premium over Sabadell’s price at the close of Monday, before the aforementioned offer was known.

The formula proposed by BBVA to carry out the purchase involves the delivery of one of its securities for 4.83 of the Sabadell, without money involved, as revealed to the National Securities Market Commission (CNMV), the Spanish stock market supervisor. .

The aforementioned offer involves valuing the financial entity at around 12,000 million euros.

BBVA, whose origin dates back to 1857, is present not only in Spain and also has an important presence in Latin America: in Mexico, which is its main market, and also in Argentina, Colombia, PeruBolivia, Chile, Uruguay and Venezuela.

Analysts at the investment bank Renta4 explain that the price offered by BBVA to acquire Sabadell “It seems attractive enough that the operation may have a better chance of succeeding compared to 2020.″, year in which another attempt failed.

However, they consider that, among other aspects, the distribution of power will be a relevant issue when reaching an agreement.