Stock market regulator extends BBVA's hostile takeover bid for Banc Sabadell

Spain's Stock Market Regulator (CNMV) has decided to extend the analysis on BBVA's takeover bid to take control of Banc Sabadell because of the "complexity" if the operation. 

The CNMV therefore expands the outcome of the operation and sends the documents towards a "second phase" that allows presenting allegations. This phase will not be resolved until 2025. 

The regulator (CNMV) announced the decision on Tuesday afternoon after the stock market closed, in order to not affect the outcome. 

Both BBVA (-2.1%) and Banc Sabadell (-1.69%) closed on a negative result on a bad day for all the values at the Ibex-35 index. 

BBVA reacted to the CNMV's announcement and confirmed that they will "continue to work closely" with the regulator to "close the agreement as early as possible." 

Banc Sabadell "respects" the CNMV's decision, as the bank announced on a statement, to extend the process. The Catalan bank added that "this decision confirms it is a complex bid and a deep study is needed."  

The decision to start a second phase of analysis was the expected scenario at Banc Sabadell. The executives of the Catalan bank have defended in the past months that this is a "complex" operation and that "many stakeholders" wanted to have a say to shed light on how this decision would affect small and medium-sized companies (pimes, in Catalan).