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BBVA

Companies, Ibex, Spanish economy 26th September 2022

BBVA once again opens door to corporate deals: “It would have to be a big bank, with a large market share”

Alphavalue/DIVACONS | The CEO of BBVA (Buy, Target Price 4,30 euros/share), Onur Genç, commented on Wednesday that the Spanish bank is open to exploring potential acquisitions of financial entities. In regard to this, he highlighted the following: “It would have to be a big bank, with a large market share”. Asked about the business in Turkey, which has recently been accounted for under a criterion of hyperinflation, Genç argued that…

Sabadell

Companies, Ibex, Spanish economy 25th September 2022

Sabadell, in the process of selling its payments arm: Worldline, Nexi, Fiserv interested parties

Renta 4 | Banco Sabadell (SAB) has announced it is in the process of analysing a possible strategic agreement with an industrial partner, specialising in the payments business. According to Reuters, citing three sources speaking on condition of anonymity, the Spanish lender has received indicative bids from France’s Worldline, Italy’s Nexi and US firm Fiserv for its payments arm. The deal is valued at up to 400 million euros, the…

Meliá

Companies, Ibex, Spanish economy 24th September 2022

A good summer season and optimism looking ahead to year-end: Buy Meliá (T. P. 7,81 euros)

Bankinter | Meliá (MEL) has flagged that the occupancy rates this summer have remained slightly below those of 2019 – an extraordinary year for Spanish tourism. However, there has been a hike in tariffs of “two high digits”, so revenues could beat those registered in the summer of 2019. The company has also expressed optimism with respect to the final quarter of the year. The booking figures reflect a continuing…

energy sector

Companies, Ibex, Spanish economy 22nd September 2022

Electricity companies ask for extraordinary tax on profits, not revenues

Banc Sabadell | The Royal Decree on energy has been approved and the electricity companies are still asking that in Spain profits are taxed and not revenues. Yesterday the Cabinet approved the Decree which includes: Cut in VAT on gas from 21% to 5% up to December (which could be extended until 2023). Application of the “Iberian exception” to co-generation plants (600 installations) Service mechanism for rapid demand response, allowing industries…

Iberdrola

Companies, European economy, Ibex 22nd September 2022

Iberdrola, Acciona Energía, amongst favourites to play European energies theme

Morgan Stanley | Despite Gazprom cutting the gas supply via Nord Stream 1, Martijn Rats (our Commodities strategist) believes that rationing will not be necessary this winter. However he warns that Europe could enter winter 2022-24 with inventory levels which are too low. In response to this, the European Union has suggested introducing different measures: Limit the price of electricity for the “fixed cost” energy generators, 2. Limit the price…

ACS

Companies, Ibex, Relevant News Item 21st September 2022

ACS reaches agreement with Texas Transport Department to renovate a bridge for an investment of €1B

Intermoney | ACS (ACS) (Buy, Target Price 40 euros/share) would have reached an agreement with the Texas Transport Department (TxDOT) related to the contract to renovate a bridge in Corpus Christi, according to the daily Cinco Dias. The investment required is 1 billion euros. The initial contract had been signed in 2015, but since then various problems with the design have appeared which have delayed the work being carried out. Faced with…

Stock Markets

Companies, Markets, World economy 21st September 2022

Volumes of Buybacks easing this year to $870 B

Morgan Stanley | In 2021, we saw record volumes of buybacks ($882 billion). And while we estimate that volumes will remain in a range of $850-1 trn, the pressure on margins derived from the uptick in costs could start to put pressure on EPS as well as on future buybacks. To find out whether companies are going to continue with buyback programmes…or if they will adopt a policy of keeping…

Telefonica chuli

Companies, Ibex, Spanish economy 20th September 2022

Telefónica seeks reduced price for Oi’s assets auctioned in Brazil

Renta 4 | Telefónica Brasil (Telefónica (TEF) 74,2%) finalised the acquisition of Oi’s assets which corresponded to the Spanish firm for a total of 1.063 billion euros. Telefónica Brasil paid some 966 million euros on the closing date of the transaction in April 2022. The payment of the remaining 10% is subject to specific price adjustments and potential indemnisation obligations. Separately, Telefónica Brasil took on a commitment to make an extra payment of…

aenasede

Companies, Ibex, Relevant News Item 19th September 2022

Deloitte calculates Aena’s 2020/2021 revenue deficit at €2.482 B

Banc Sabadell | Aena (AENA) is continuing to struggle to reopen the compensation analysis for Covid-19, which the Civil Aviation and the Government have both denied. Now, according to the daily Cinco Dias, Aena will have asked Deloitte to prepare a report. In this, the latter estimates the revenue deficit during 2020, as a result of Covid-19, at 1.394 billion euros ( vs 1.364 billion published by the CNMC) and during…