BBVA receives authorization from Mexican competition authority (Cofece) for its transaction with Banco Sabadell
The Mexican Federal Economic Competition Commission (Cofece) has granted approval for BBVA to indirectly acquire Banco Sabadell's shares in various subsidiaries in Mexico. Cofece's analysis determined that the transaction poses no risk to competition in the Mexican banking sector.
Specifically, the Mexican authority concluded in its decision that “the notified transaction would have low probability of impacting the competition process and free economic activity.”
BBVA's proposed transaction involves the indirect acquisition of Banco Sabadell in Mexico and the rest of its subsidiaries.
With this approval, BBVA advances further in the regulatory process. The bank has already secured key clearances: authorization from the UK’s Prudential Regulation Authority (PRA) and non-opposition from the European Central Bank on September 3 and 5, 2024, respectively. On November 26, 2024, the European Commission's competition authority also completed its review under the Foreign Subsidies Regulation without objections.
The next steps needed include the authorization of the Spanish competition authority (CNMC), the authorization of the Spanish securities markets regulator (CNMV) and the uptake of the offer by Banco Sabadell shareholders representing the majority of its share capital (more than 50.01 percent).