Banc Sabadell premieres before shareholders a new stage with no mergers in sight

BarcelonaBanc Sabadell will today unveil to shareholders, the first board meeting since BBVA's takeover bid failed last October, the launch of a new era in its history with no mergers in sight and combining more digitalization with its characteristic "relationship banking". These are some of the objectives explained by the new CEO, Marc Armengol, who will receive the baton this Wednesday from César González-Bueno, who is stepping down after more than five years; and the chairman, Josep Oliu. The aim is to maintain the model of a bank "of relationships, of companies and of personal banking", "closer and more focused on the domestic market", according to Armengol.

In the current situation, in which banking "is very solid", integrations between medium-sized entities are ruled out, a path that Sabadell could lead, as Oliu explained during a meeting with the press prior to the board meeting and reiterating what González-Bueno said yesterday, Tuesday, in the presentation of the first-quarter results González-Bueno said. In Oliu's opinion, all banks, in addition to achieving solid results currently, "have their project and their territorial roots". And he concluded: "Today is not the time".

Alliances or purchases of some businesses

Armengol, for her part, maintaining the same thesis, does not rule out that the bank will have to sign alliances or make some acquisitions in some of the businesses in which it wants to strengthen its service to clients. In addition to payment methods, one of the areas in which it will focus is the digitalization of business aimed at companies and SMEs.

The objectives, in any case, are to demonstrate that Sabadell, once the takeover bid is forgotten and the British subsidiary TSB is sold to Banco Santander, which involves the distribution of an extraordinary dividend of 50 cents per share on May 29, has "the right to continue alone and makes perfect sense". It is an option which, moreover, was decided by the shareholders, many of whom are also clients, according to Oliu and who, they have been reiterating for months, are the true hard or stable shareholder core that Sabadell has.

The bank's president recalls that it was these who insisted on saying that they "did not want the merger with BBVA or with anyone else". Among these loyal shareholders, the insurer Zurich, the second largest individual shareholder, is also included, which also rejected the takeover bid.

After a restructuring, which "was necessary", the workforce today "is adjusted", according to the bank's top management. Armengol does not rule out, however, the rethinking of capabilities for the future, but taking into account that the starting point "is a super-professional and super-committed workforce". The bank has also launched a early retirement plan that could affect around 300 people and has already had a cost of 55 million in the first quarter, out of a total of 90 million. In any case, this measure, the bank adds, will allow for annualized savings of 40 million gross from 2027 onwards, but a third of this amount will already be achieved this year, according to the entity.

Armengol also reiterates that he is committed to the strategic plan until 2027 and the remuneration to shareholders included in it, which totals more than 6,450 million euros, between dividend distribution and share buybacks.