"There is no agreement or conflict of interest between BBVA and me": Sabadell's third largest shareholder defends the takeover bid.

BarcelonaThe Mexican investor David Martínez Guzmán, The third absolute shareholder and the first individual shareholder of Banc Sabadell, with 3.86% of the capital, and director of the Catalan bank defends himself in an article in the newspaper The Country of the criticism he has received for announcing that he will participate in the takeover bid launched by BBVA. In the article, titled "This is not a battle between Montagues and Capulets", referring to the rival families of Romeo and Juliet, denounces the "incorrect interpretations, accusations, and baseless insinuations" to which he has been subjected as a director of the Catalan financial institution. Martínez bluntly states: "There is no agreement or conflict of interest between BBVA and me."

In addition to recalling that he has been a Sabadell shareholder since 2013 and that he has supported the bank in the most difficult situations, such as the purchase of the British bank TSB—which has now been sold to Santander—or during COVID, he asserts that his investor profile "is far from short-termist," in an unnamed reference to César González-Bueno. "We even participated in the capital increase for the purchase of TSB, despite considering that it lacked a strategic focus," he adds.

According to Martínez, "now that the bank is fairly valued, it's the right time to obtain greater benefits through consolidation. Mergers in themselves are not the point; what I really value is scale. The banking business is, not only, but importantly, an infrastructure and technology business, where scale is a fundamental factor." And he is very illustrative: "I see structural advantages in a bank with a 22% market share over one with 8%. I believe that the consolidation of Sabadell and BBVA in Spain will result in a more competitive, profitable entity with greater potential for revaluation."

The investor explains that his strategy at Sabadell has been based on recovery from the financial crisis by cleaning up problematic assets, strengthening capitalization, or selling non-strategic businesses and alliances in areas where other specialized players can offer a better product. Other objectives have included cost reduction and efficiency improvements, a return to profitability, the restoration of attractive and robust distributions for shareholders, and further consolidation of the Spanish financial system.

Value of Mexico and Türkiye

Aside from Martínez, who admits his specialization in emerging markets, BBVA is characterized by the "exceptional value of the top-tier franchises" it has in Mexico and Turkey—aspects heavily criticized by Sabadell's management—and its "unquestionable growth potential, profitability, and resilience." He asserts that with his decision he is fulfilling his duty as a director and that the accusations against himThe most direct ones are those of the Association of Small Shareholders of Banc Sabadell-- are unfounded, irresponsible, and defamatory, and "only seek to confuse the debate by seeking to discredit others." In this regard, he states that he has asked his advisors to remain in contact with the National Securities Market Commission (CNMV) "for any clarification they deem appropriate."

"I would have preferred an amicable merger. From the first day of this process, I expressed my positions with complete clarity and transparency, especially to the chairman of the board. Although not shared by the board, they were always discussed with mutual respect. In any case, the decision now rests in the hands of the shareholders, to whom the right to set the direction of Sabadell belongs."

Martínez states that he does not seek to "be a role model for anyone" with his decision. "This is not a battle between Montagues and Capulets. Descriptors like "traitor" or "sellout" only reflect the blindness and bias of those who use them. As a shareholder, I have no other interest than maximizing the return on investment, and I recommend that other shareholders seek independent professional advice rather than uncertain advice," he concludes.