Sabadell Rejects BBVA's $13 Billion Takeover Bid, Citing Undervaluation

The Spanish bank's board dismisses a second merger attempt by BBVA, emphasizing its strong standalone growth prospects and market stability.

BBVA's proposal offered a 30% premium over Sabadell's closing price, valuing the smaller bank at approximately €12 billion ($13 billion).
Sabadell's shares have risen significantly since the offer, while BBVA's have declined, adding uncertainty to the merger's value.
Analysts suggest BBVA might still adjust its offer, despite Sabadell's firm rejection based on strategic and financial assessments.
Previous negotiations in 2020 between the two banks were also aborted over disagreements on valuation.
The potential merger would have created one of Europe's largest banks, with assets over €1 trillion, rivaling major players like Santander.