BBVA Adjusts Minimum Acceptance Condition in Sabadell Takeover Bid
BBVA, the Basque banking entity, has announced a significant modification to its takeover bid for Banco Sabadell, altering the minimum acceptance condition from 50.01% of the share capital to over 50% of the effective voting rights. This change excludes Banco Sabadell's treasury shares as the acceptance period of the offer concludes. This update was communicated to the National Securities Market Commission (CNMV) to ensure transparency and compliance with regulatory requirements.
In its detailed communication, BBVA clarified that this adjustment constitutes a reduction in the minimum acceptance threshold, benefiting the shareholders of Banco Sabadell. Specifically, it allows the takeover bid to be fulfilled if accepted by at least 2.68 billion shares of Sabadell, rather than the previously required 2.72 billion shares which represented 50.01% of the bank's capital.
The total number of shares comprising Sabadell's capital stands at 5.44 billion, of which 787 million are designated as treasury shares. Under Article 148a of the Companies Act, the voting rights of these treasury shares are currently suspended. As a result, the adjustment in BBVA’s bid reflects an effort to streamline the acquisition process and appeal to Sabadell's current shareholders by making the proposal more attractive.
Despite this change, all other terms of the takeover bid remain unchanged. The financial landscape following this strategic move illustrates the ongoing consolidation within the banking sector in Spain, with significant implications for the stakeholders involved. Investors and analysts are poised to evaluate the impact of this modification on the eventual outcome of the takeover, and its potential influence on the future of both banks.
As the acceptance period progresses, shareholders of Banco Sabadell are encouraged to assess the revised offer carefully and consider how it aligns with their investment strategies in light of the evolving market conditions. BBVA's latest move signifies not only its intentions but also highlights the competitive pressures within the financial industry as companies seek to expand their market reach and enhance shareholder value.
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