Saturday, October 1

BBVA: If it backs down on the takeover by Garanti it would be good news

In mid-November, BBVA announced a takeover bid for the 50.15% of Garanti that it does not control. Since then, we have seen significant swings for the Turkish lira, which are also felt in the price of the Spanish bank.

As explained José Lizán, manager of Magnum Sicav in QuadrigaIt must be taken into account that BBVA announced this takeover but has not formally presented it so far. It is possible that the bank chaired by Carlos Torres Vila backed down. News that would be received positively, according to the expert.

In addition, from Quadriga they do not rule out that in 2022 there will be a new approach to Banco Sabadell and some type of operation is completed, such as a merger. Something that investors would also welcome, explains Lizán.

However, the expert also points out that the bank has a very healthy balance sheet, it has corrected a lot as a result of the fluctuations of the Turkish lira and “we are beginning to see attractiveness.” The profile is more risky but “below 5 euros it is more a purchase than a sale”.

These are BBVA’s technical indicators, check them by clicking here.

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