BBVA to appoint new in-house head for Banco Sabadell deal

(Bloomberg) — BBVA SA will name a new head of a team that is preparing for the Spanish lender’s possible acquisition of smaller rival Banco Sabadell SA, according to people familiar with the matter.

Spain’s second-largest bank has named Jordi Garcia Bosch as the new head of its so-called integration office, the people said, asking not to be identified discussing private information. The team would be responsible for coordinating how the bank would merge with Sabadell if the takeover bid is successful, the people added.

Garcia Bosch will succeed Peio Belausteguigoitia, who also serves as BBVA Country Manager for Spain. Unlike his predecessor, Garcia will focus primarily on the deal, people familiar with the matter said.

A BBVA representative declined to comment.

BBVA, formally known as Banco Bilbao Vizcaya Argentaria, is seeking a hostile takeover of Sabadell to expand its domestic market share. Sabadell’s board rejected the offer as too low, and its management team has been publicly opposed to the deal, saying investors would be more willing to accept the bank’s current strategy.

BBVA’s takeover bid is subject to approval from various regulatory authorities before it can be implemented. The bidder offered to exchange 1 newly issued share for every 5.0196 Sabadell shares, plus 0.29 euros in cash.

According to Garcia Bosch’s LinkedIn profile, he served as BBVA’s global head of strategy, finance and engineering controls. From 2015 to 2018, he served as chief of staff to BBVA Chairman Carlos Torres, who was then CEO.

The deal faces political opposition from the Spanish government and Catalan parties. Sabadell said on Wednesday it would move its legal residence back to Catalonia as the bank seeks to muster political support at its traditional headquarters to fight a hostile takeover.

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