Spanish government opposes BBVA's $13 billion Sabadell bid
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 09 2024
0mins
Source: Yahoo Finance
- Spanish Government's Opposition: Spain's government opposes BBVA's hostile takeover bid for Sabadell, citing potential negative effects on the financial system, jobs, and customers.
- Approval Process: The Economy Ministry has the final say in approving bank mergers or acquisitions under Spanish law, with a six-month period for decision after consulting regulators.
- BBVA's Takeover Bid: BBVA presented a 12.23 billion euro takeover bid to Sabadell's shareholders after the target's board rejected the proposal.
- Economic Impact: BBVA Chairman believes the merger would benefit the Spanish economy by creating a stronger player in Europe and generating a higher tax base.
- Catalonia's Concerns: Catalonia, most affected by the takeover, faces regional elections; unions and local parties express worries about job losses and branch closures.
Analyst Views on BBVA
Wall Street analysts forecast BBVA stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for BBVA is 23.00 USD with a low forecast of 23.00 USD and a high forecast of 23.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
1 Analyst Rating
1 Buy
0 Hold
0 Sell
Moderate Buy
Current: 25.020
Low
23.00
Averages
23.00
High
23.00
Current: 25.020
Low
23.00
Averages
23.00
High
23.00
About BBVA
Banco Bilbao Vizcaya Argentaria, S.A. (BBVA) is a Spain - based bank. It is a diversified financial company engaged in retail banking, wholesale banking, asset management and private banking. Its segments are: Spain, the United States, Turkey, Mexico, South America and Rest of Eurasia. The activities in Spain are banking activity and Insurance. In the United States it offers services through, BBVA USA and the BBVA New York branch. The Turkey segment is represented by the group Garanti BBVA, an integrated financial services group, that also operate in Holland and Romania. The Mexico segment activities include banking and insurance businesses. In South America, it provides banking and insurance businesses. The Rest of Eurasia segment includes business activity in the rest of Europe and Asia
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
