The National Commission on Markets and Competition (CNMC) has moved BBVA’s takeover bid for Sabadell to Phase 2. The agency will continue analyzing the operation while extending the analysis period by another three months to allow new stakeholders to voice their opinions. The government will now have the authority to demand additional conditions based on the general interest or even veto the merger.
This decision comes despite BBVA offering a package of commitments to the Competition Authority at the end of October, which aimed to secure its approval in Phase 1. On the other hand, the approval of the takeover prospectus by the National Securities Market Commission (CNMV) is still pending, which is expected to arrive between the end of the year and spring. BBVA adjusted the offer earlier this month after Sabadell paid its dividend. It now offers one share for every 5.0196 shares of Sabadell and a cash component of 29 cents, equivalent to the historical interim dividend paid on October 10.”
