BBVA's takeover bid for Sabadell fails as shareholder acceptance below required minimum

BBVA's hostile takeover bid for Banc Sabadell came to an end on Thursday evening after shareholder acceptance failed to reach 30%, falling short of the threshold required to proceed. 

The Spanish market regulator, CNMV, released today the long-awaited results of the shareholders' decision, more than 17 months after the bid began. 

The offer was accepted by only 25.33% of shareholders and 25.47% of the voting rights. By not achieving the required minimum of 30%, the offer automatically lapses and becomes ineffective.

Over 200,000 Sabadell shareholders had a month to exchange their shares, ultimately reaffirming their trust in the Catalan bank. 

Many experts had expected that support for the Basque entity would surpass 30%, keeping the hostile bid open. 

However, the CNMV’s announcement finally closes the saga that began in May 2024.

The deadline for shareholders to decide passed last week, but the results were made public on Thursday evening.

Earlier this month, the Catalan Foment del Treball business association president, Josep Sánchez Llibre, said he would consider a takeover a "real disgrace from both political and financial points of view."

BBVA admits surprise

Sources from Basque bank BBVA admit surprise at the failure of the takeover bid, and suspect that a "false expectation" of a second offer at a higher price has influenced the result.

The same sources consulted by the Catalan News Agency called the rejection "a clear missed opportunity."

Despite this, they assure the bank is turning a page on the idea and is now looking to the future with optimism.

The financial entity has announced it will "accelerate" its plan for shareholder remuneration with "relevant new developments," including the expectation to distribute €36 billion among its shareholders until 2028, with €13 billion "in the short term."

President urges parties to start "looking forward"

Catalan president Salvador Illa has called for all parties involved to start "looking forward" after the failure of the takeover bid.

The Catalan executive now has an important role to ensure that both banks "continue to generate progress and prosperity in Catalonia," Illa said on social media. 

Illa also defended that the banking system has "adapted to the reality" of the country and the business community.