Overview

• Minister Carlos Cuerpo formally sent BBVA’s offer for Banco Sabadell to the Council of Ministers on May 27, citing impacts on public interest beyond competition
• The Council has until June 27 to decide on the bid and may impose additional conditions on top of those agreed with the CNMC
• BBVA says the merger will boost annual lending capacity by €5 billion and has pledged unprecedented commitments to protect jobs and regional service levels, while Sabadell insists its standalone plan delivers stronger shareholder returns
• The Generalitat de Catalunya and Catalan nationalist parties oppose the acquisition over fears it could reduce competition and limit credit access for local businesses
• The European Commission is scrutinizing Spain’s decision for alignment with EU law and Minister Cuerpo expects no conflict with Brussels during the review