David Martínez, the mysterious Sabadell director who will say yes to BBVA

MadridThey say fate is full of coincidences, and BBVA's hostile takeover bid for Banc Sabadell is no exception. The thread that opened the door to the Vallecas-based bank for multimillionaire David Martínez Guzmán (Monterrey, 1957) in 2013 is the same thread that today leads him to an exit from Sabadell's shareholding, at least as we know it now: none other than BBVA. The Mexican investor landed at Sabadell thanks to Jaume Guardiola when he was CEO of the Catalan bank. But they had known each other before. Specifically, from the time when Guardiola was Vice President and General Manager of BBVA Bancomer in Mexico. At that time, Martínez was already one of Mexico's largest fortunes and a renowned investor, something that Guardiola did not overlook when, years later, and already within Sabadell, he sought strong investors who could strengthen the bank's solvency through a capital increase, just after acquiring CAM.

Although he avoids the press and photos and is considered a secretive and discreet man – he does not usually attend public events and in some financial circles he is called the ghost of Wall Street because He does and undoes, but he is not seen - Martínez's decision to resort to a hostile takeover has overshadowed all the headlines: means breaking the unanimity that the board of directors of the Valles-based bank had expressed until now regarding its position of rejecting the takeover bid. The other moment in which Martínez also overshadowed the headlines was in 2021, when the CNMV imposed a fine of 300,000 euros for failing to comply with the obligation to provide information to the market for his stake in Sabadell.

However, his decision has not raised too many surprises either inside or outside the bank. "He has never been a strategic shareholder," stated Sabadell's chairman, Josep Oliu, on Tuesday, who even described the fact that he has been at the Valles-based bank for so long as "curious." Another opinion that coincided in 2013, when Martínez arrived at Sabadell, also shares this opinion. In fact, ARA has already explained that David Martínez was the only director who He did not support the decision not to accept BBVA's offer in April of last year."He likes mergers," added Sabadell CEO César González-Bueno on Tuesday. A source consulted by ARA claims that in 2016, Martínez was one of the people who welcomed the merger of Sabadell with Popular. In the case of the hostile takeover, this investment strategy is compounded by the link to Mexico, BBVA's main market.

Both sides agree that the Mexican has done what he has always done: bet when things aren't going well, revalue the investment, and exit when the situation has improved and he has been able to make enough money. He has done this in the private sector, but also by buying government debt in Argentina and Portugal. He had even considered doing so in the Greek case, but backed out, according to sources consulted by ARA. He is, therefore, a speculative investor.

325 million

In 2013, Martínez invested €325 million in Sabadell's capital increase through the Fintech Advisory fund, a fund specialized in investing in companies going through difficult times and exiting them once they've recovered. Also involved with him was Jaime Gilinski, the fourth richest man in Colombia, who contributed another €325 million. If Jaume Guardiola went after Martínez, Josep Oliu himself did the same with Gilinski. In total, they contributed €650 million to a capital increase of nearly €1.4 billion.

The Colombian, who had become Sabadell's largest shareholder, ended up leaving the Catalan bank in dribs and drabs. "It lost money," says a source consulted by ARA. Martínez, however, held on. This was also the case during the bank's most difficult times, most notably the stock market slump caused by the difficult integration of its British subsidiary, TSB. A transaction that also exposed the Valles-based bank during the Brexit upheavals. "He has nerves of steel," summarizes a source. Until "the opportunity" presented itself, in the words of Martínez himself, from BBVA.

Over the years, his character has also been reflected in the relationship he has had with Sabadell. Martínez has not been known for speaking at board meetings, nor has he attended all the general shareholders' meetings, unlike other directors, nor has he been involved in the day-to-day running of the Valles-based bank.

Fortune and Art

However, things haven't gone badly for the Mexican. Those who have seen him move around assure him that he is intelligent and has a keen eye for business. In 2017, the magazine Forbes His fortune was estimated at $4 billion.

With strong religious convictions—he even began his studies to become a priest—he entered the world of business and finance through Harvard, where he taught. He previously studied technological engineering in Monterrey and philosophy in Rome. After finishing his master's degree at Harvard, he joined Citigroup until he created Fintech Advisory in 1985.

Although his fortune began with this investment fund, he also has stakes in Telecom, one of the most important operators in Argentina, is a partner in the communications group Clarín and controls parts of the Mexican companies Vitro and Cydsa, in addition to 7.8% of Televisa. His main hobby is art and, in fact, he has a large collection, although he does not boast about it in public. His life revolves between Mexico, where he has his roots; New York, where in addition to his business ventures, he has an exclusive apartment in the Time Warner Center building, for which he paid $42 million in 2003, and finally London.