Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

Spain's BBVA closes deal with Merlin to buy back 662 branches

Published 04/01/2022, 12:54 PM
Updated 04/01/2022, 12:55 PM
© Reuters. A woman walks past a BBVA bank branch in Madrid, Spain, November 15, 2021. REUTERS/Juan Medina

MADRID (Reuters) - Spain's BBVA (MC:BBVA) on Friday said it had bought back 662 branches, which it sold between 2009 and 2010 under a sale and lease back agreement to Tree Inversiones Inmobiliarias, owned by real estate company Merlin Properties.

As part of deal, the Spanish bank agreed to pay 1.99 billion euros ($2.20 billion) for 100% of the shares of Tree Inversiones Inmobiliarias, which owns 659 branches and three individual buildings.

BBVA estimated the deal would hit its capital by 7 basis points and have a negative net impact of 200 million euros once the transaction is completed, which is expected at the end of the second quarter.

© Reuters. A woman walks past a BBVA bank branch in Madrid, Spain, November 15, 2021. REUTERS/Juan Medina

The lender said the impact would be more than offset by the cumulative savings expected when this transaction is executed.

($1 = 0.9056 euros)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.