BBVA Needs to Improve Sabadell Offer Amid Shrinking Premium -- Market Talk

Dow Jones

Jan 09, 2025

1615 GMT - BBVA will have to improve its takeover offer for Banco Sabadell after the latter's share price improvement, Alantra Equities says in a research note. The all-share offer's original 30% premium has now shrunk to 4.5% given Sabadell's share price increase and BBVA's fall since it was made last spring. "We expect the correlation with the BBVA share swap--and related Mexican volatility--will break once the market recognizes better value in Sabadell's standalone story," analyst Francisco Riquel writes. The premium could turn negative, forcing BBVA to improve the bid or walk away, he adds. Alantra opposes tendering the shares unless the offer is improved by 20%. The broker raises its rating on Sabadell to strong buy from buy and its target price by 6% to 2.55 euros. (elena.vardon@wsj.com)

(END) Dow Jones Newswires

January 08, 2025 11:15 ET (16:15 GMT)

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The all-share offer's original 30% premium has now shrunk to 4.5% given Sabadell's share price increase and BBVA's fall since it was made last spring. \"We expect the correlation with the BBVA share swap--and related Mexican volatility--will break once the market recognizes better value in Sabadell's standalone story,\" analyst Francisco Riquel writes. The premium could turn negative, forcing BBVA to improve the bid or walk away, he adds. Alantra opposes tendering the shares unless the offer is improved by 20%. The broker raises its rating on Sabadell to strong buy from buy and its target price by 6% to 2.55 euros. (elena.vardon@wsj.com) \n</p>\n<pre>\n \n</pre>\n<p>\n  (END) Dow Jones Newswires\n</p>\n<p>\n  January 08, 2025 11:15 ET (16:15 GMT)\n</p>\n<p>\n  Copyright (c) 2025 Dow Jones &amp; Company, Inc.\n</p>\n</font>","source":null,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>BBVA Needs to Improve Sabadell Offer Amid Shrinking Premium -- Market Talk</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nBBVA Needs to Improve Sabadell Offer Amid Shrinking Premium -- Market Talk\n</h2>\n\n<h4 class=\"meta\">\n\n\n<div class=\"head\" \">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Dow Jones </p>\n<p class=\"h-time\">2025-01-09 00:15</p>\n</div>\n\n</div>\n\n\n</h4>\n\n</header>\n<article>\n<font class=\"NormalMinus1\" face=\"Arial\">\n<p>\n     1615 GMT - BBVA will have to improve its takeover offer for Banco Sabadell after the latter's share price improvement, Alantra Equities says in a research note. The all-share offer's original 30% premium has now shrunk to 4.5% given Sabadell's share price increase and BBVA's fall since it was made last spring. \"We expect the correlation with the BBVA share swap--and related Mexican volatility--will break once the market recognizes better value in Sabadell's standalone story,\" analyst Francisco Riquel writes. The premium could turn negative, forcing BBVA to improve the bid or walk away, he adds. Alantra opposes tendering the shares unless the offer is improved by 20%. The broker raises its rating on Sabadell to strong buy from buy and its target price by 6% to 2.55 euros. (elena.vardon@wsj.com) \n</p>\n<pre>\n \n</pre>\n<p>\n  (END) Dow Jones Newswires\n</p>\n<p>\n  January 08, 2025 11:15 ET (16:15 GMT)\n</p>\n<p>\n  Copyright (c) 2025 Dow Jones &amp; Company, Inc.\n</p>\n</font>\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK4207","symbol_name":"综合性银行","start_time":0,"source_url":"https://dowjonesnews.com/newdjn/logon.aspx?AL=N","article_id":"2502726647","we_media_id":"106","thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2502726647","pubTimestamp":1736352900,"columns":[],"sourceInfo":null,"weMediaInfo":{"media_name":"Dow Jones","introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":0,"id":"106","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"summary":"1615 GMT - BBVA will have to improve its takeover offer for Banco Sabadell after the latter's share price improvement, Alantra Equities says in a research note. The all-share offer's original 30% premium has now shrunk to 4.5% given Sabadell's share price increase and BBVA's fall since it was made last spring. \"We expect the correlation with the BBVA share swap--and related Mexican volatility--will break once the market recognizes better value in Sabadell's standalone story,\" analyst Francisco Riquel writes. The premium could turn negative, forcing BBVA to improve the bid or walk away, he adds. Alantra opposes tendering the shares unless the offer is improved by 20%. The broker raises its rating on Sabadell to strong buy from buy and its target price by 6% to 2.55 euros. ","collect":0,"end_time":0,"defaultTopTitle":"","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK4207":"综合性银行","BBVA":"西班牙外换银行"},"translate_title":"在溢价萎缩的情况下，BBVA需要提高Sabadell的报价——市场讨论","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"BBVA":1},"content_text":"1615 GMT - BBVA will have to improve its takeover offer for Banco Sabadell after the latter's share price improvement, Alantra Equities says in a research note. The all-share offer's original 30% premium has now shrunk to 4.5% given Sabadell's share price increase and BBVA's fall since it was made last spring. \"We expect the correlation with the BBVA share swap--and related Mexican volatility--will break once the market recognizes better value in Sabadell's standalone story,\" analyst Francisco Riquel writes. The premium could turn negative, forcing BBVA to improve the bid or walk away, he adds. Alantra opposes tendering the shares unless the offer is improved by 20%. The broker raises its rating on Sabadell to strong buy from buy and its target price by 6% to 2.55 euros. (elena.vardon@wsj.com) \n\n\n \n\n\n  (END) Dow Jones Newswires\n\n\n  January 08, 2025 11:15 ET (16:15 GMT)\n\n\n  Copyright (c) 2025 Dow Jones & Company, Inc.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":0,"need_auth":true,"code":"91000000","status":"200"}}}