Sabadell is considering offers to sell its TSB subsidiary amid BBVA's takeover bid.

Madrid / BarcelonaBanc Sabadell is considering offers to sell its British subsidiary TSB, as has progressed Financial Times and sources from the entity chaired by Josep Oliu have confirmed. The Vallesan entity is working with advisors to study the offers and its possible sale, which occurs in the midst of BBVA's takeover bid. The operation is on the table of the Spanish government, which must decide whether to impose obstacles related to the general interest or not. The free competition aspect has already been endorsed by the National Commission of Markets and Competition (CNMC) on April 30 past, despite the business and social outcry, especially in Catalonia, against the takeover bid.

Potential buyers include Barclays, NatWest, Santander UK, and HSBC, which are said to have submitted offers for the British entity. Sabadell has confirmed in a statement sent to the National Securities Market Commission (CNMV) that it has received "preliminary and non-binding expressions of interest." The bank adds that it will analyze any binding offer it may receive. Naturally, any transaction would be subject to compliance with all legal obligations.

Restricted movements

In fact, the Valle del Cauca bank's movements are quite restricted as it is the subject of a takeover bid due to the duty of passivity it must fulfill. In this context, Sabadell cannot do anything without the approval of the general shareholders' meeting. It also obliges the bank, and in particular its board of directors, to do nothing extraordinary that could derail the operation.

The white knight formula, that is, the intervention of a third party to derail the takeover bid, had been circulating for a few weeks. On that occasion, it was not about the sale of a subsidiary but about a possible merger with Abanca, which later publicly rejected it; as did Unicaja, another possible candidate. This information about the offers for TSB comes on the same day that the Financial Times He also stated in a column that the possible merger of BBVA and Sabadell should be left in the hands of the shareholders.

Sabadell acquired TSB in 2015. The technological integration became a real headache and caused a severe crisis in 2018, which resulted in a fine from the British regulator. A few years later, the bank was considered for sale, but its situation has improved significantly in recent years. Last year, it contributed €253 million to Sabadell's profits out of a total of €1.827 billion, the highest figure since the acquisition of the British bank.