BBVA’s shareholders will comment on the takeover bid for Banco Sabadell
This Friday, BBVA’s shareholders will decide on the hostile takeover bid that the bank wants to launch to acquire Banc Sabadell. The extraordinary meeting called by BBVA will be held at the end of May at the Palau Euskalduna in Bilbao.
Capital increase proposal for the OPA
At this meeting, BBVA will propose to its shareholders the approval of the capital increase necessary for the exchange of shares for the OPA. The maximum nominal amount of the capital increase will be 551.9 million euros. This capital increase will be carried out with non-monetary contributions, through the issuance and circulation of up to 1,126 million shares of the same class and with the same rights and obligations as current BBVA shares.
Decision on capital increase
The final decision on the capital increase will depend on the number of acceptances received from Sabadell’s shareholders. No disbursement will be required from BBVA shareholders.
Processing of the capital increase
The capital increase and the issuance of the new shares will be directed exclusively to Sabadell shareholders who attend the takeover bid. The capital increase will be carried out in whole or in part, depending on the result of the OPA and, if applicable, the exercise of the rights of forced purchase and sale resulting from the operation.
Recommendation of the ‘proxy advisors’
The ‘proxy advisors’ ISS and Glass Lewis have recommended voting in favor of the operation, despite expressing some concern about some aspects of the OPA. However, they understand the rationality of the operation proposed by BBVA.