Last week, the shareholders of the Sabadell target approved the distribution of an exceptional dividend, a decision perceived as a stick in the wheels of the offer of the Spanish two.
The Spanish Bank BBVA, the second of the country, announced on Monday that it maintained its hostile opa on its competitor Sabadell, on which doubt has been hovering since the end of July after multiple twists and turns of the Spanish left government.
After having analyzed the extraordinary general assemblies of the shareholders of Banco Sabadell, “BBVA decided not to give up the offer (OPA, editor’s note) and, consequently, it remains valid in accordance with the applicable regulations”, said the bank in a press release.
On August 6, Sabadell shareholders approved the distribution of an exceptional dividend, a decision perceived as a stick in the wheels of the BBVA OPA.
Eager to derail the operation, Sabadell has indeed sold its British subsidiary for 3.1 billion euros, and promised record remuneration for its shareholders, in particular thanks to this sale.
Banco Sabadell president Josep Oliu invited the shareholders to remain so until 2027 to benefit from the dividends, when they should probably have to decide if they sold their actions in BBVA.
Announced last year, this OPA values Sabadell at around 15 billion euros and, if it materializes, would give birth to a European banking giant capable of competing with heavy goods vehicles such as Santander, BNP Paribas and HSBC.
Chilly vis-à-vis the operation, likely to reduce competition, the Spanish left government imposed strict conditions at the end of June, by preventing any merger between the two bank entities for at least three years.
According to the executive, these conditions aim to avoid losses of jobs and banking branches.
The outcome of the operation remains very uncertain, Sabadell being owned by a multitude of investors, none of which exceeds 7%.