MADRID (Reuters) -Spanish bank BBVA on Monday said it raised its bid for Sabadell by 10% to 3.39 euros per share, valuing its smaller rival at 17 billion euros ($19.95 billion).
BBVA now offers 1 of its own shares for each 4.8376 Sabadell shares in what would be Spain’s second-biggest banking deal by assets.
“The consideration will now be entirely in shares, so shareholders with capital gains would not be subject to taxation in Spain, if acceptance exceeds 50 percent of Banco Sabadell’s voting rights,” it said in a statement.
BBVA’s board has also agreed to waive both the possibility of making further improvements to the consideration and of extending the acceptance period.
BBVA had previously offered 1 BBVA share for each 5.5483 Sabadell shares and 0.70 euros in cash, the equivalent to around 3.084 euros per share or 15.49 billion euros taking into account closing prices on Friday Sept. 19 and the previous exchange ratio.
($1 = 0.8520 euros)
(Reporting by Jesus Aguado, editing by Inti Landauro)
