The improvement of the price of OPA About him Sabadell bank in 1,000 million that the BBVA To the government, advanced by OKDIARIO, it falls very short; The Bank that presides Carlos Torres It has to rise approximately double, about 2,000 million, simply to match the initial conditions of the offer when it was announced a year ago. Offer that was then rejected by insufficient.
This is ensured by knowledgeable sources of the situation, which make the following calculation: when the first friendly fusion proposal was announced at the end of April, the Sabadell shareholders corresponded to 16.18% of the capital of the BBVA; Now, with the payments of dividends that the Catalan bank has done and discounting the actions that are going to repurchasethis percentage has been reduced to 13.97%.
Therefore, the BBVA would have to improve its offer, so that the Sabadell shareholders correspond to that 16.18%, simply to return to the price where it was initially. That represents a 13.65% rise in the price, while the improvement of 1,000 million it has offered to the Government represents less than 8% compared to the current assessment of Sabadell according to the exchange equation with the BBVA: 13,606 million at the end of Thursday (650 million less than the Sabadell alone).
Therefore, the rise necessary to return to the initial situation would be around twice the offered, that is, just under 2,000 million. And, yet, it would remain insufficient for the Sabadell Council, as he said a year ago. Then, he rejected the friendly proposal of the BBVA for considering that he did not reflect the real value of the bank he presides Josep Oliubefore which Torres decided to launch the Repeated.
Consequently, for the offer to grant to Sabadell a value that it considers its council fair, the price increase would have to be even greater than those 2,000 million.
In addition, there is the question of whether that price increase will materialize simply by improving the exchange equation, that is, if it will continue to be a 100% offer in shares, or if it will be done in cash. As is known, the offers they pay in cash (at least partly) are much more attractive to investors than those made with the exchange of Papelos.
Avoid conditions
As this media reported, the BBVA proposal intends that the Government does not impose too hard conditions after the public consultation that has launched on the operation. A consultation that comes after the CNMC (The authority of Competence) will limit himself to accepting the commitments offered by the entity without imposing additional conditions.
This CNMC resolution was very well received by the BBVA, as is logical, but not by the Catalan partners of Sánchez, especially Together. Hence the requirement to impose additional conditions by Carles Puigdemont. And to justify them before European agencies (Commission and ECB) and before the International investorsSánchez has taken the consultation cited from the sleeve.
That is the fear of BBVA and what has motivated this proposal for an improvement in the price of the offer before the government makes its decision. The Minister of Economy, Carlos Bodyit has until May 27 to decide whether it raises the offer to Minister Councils, which is assumed to do. Then, the government will have a month – although the clock can stop – to make its final decision on the conditions that will impose to the BBVA.
In principle, these should be based on different criteria for the defense of competition, since that is the justification of the resolution of the CNMC. The most likely criteria to justify additional conditions are “the free circulation of goods and services within the national territory »or the« guarantee of adequate maintenance of the objectives of the sector regulation ».
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