Company: BBVXF
Filing Date: 2025-02-27
Form Type: F-4/A
Source: 0001193125-25-037317
Chunk: 121

Company: BANCO BILBAO VIZCAYA ARGENTARIA, S.A.
Filing Date: 2025-02-27
Form: F-4/A
Chunk 121
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 28% in loans to SMEs (compared to 24% and 35% for BBVA and Banco Sabadell, respectively) and 13% in loans to corporate and investment banking customers 93

(compared to 16% and 8% for BBVA and Banco Sabadell, respectively), based on publicly-available financial disclosures of BBVA and Banco Sabadell as of December 31, 2024. Additionally, both entities have a clear strategic focus on digitization (66% of BBVA’s new clients in 2024 registered through digital channels, while 54% of Banco Sabadell’s clients registered through digital channels in 2024) and sustainability (BBVA channeled approximately €99 billion into sustainable businesses in 2024 and Banco Sabadell mobilized more than €19 billion in sustainable finance in 2024, in each case, according to their respective annual results presentation). The clients of Banco Sabadell will receive the services derived from the technological and digital capabilities of BBVA, which has been investing for years in technology to improve the user experience and offer personalized recommendations. Additionally, following completion of the exchange offer, Banco Sabadell’s clients will have not only a more comprehensive product and services offering but also access to other international markets in the countries where BBVA is present, thereby expanding their opportunities for business.

BBVA estimates a negative impact on the BBVA Group’s CET1 capital of 51 basis points including restructuring costs (or approximately 27 basis points excluding such costs, net of taxes and dividends and related prudential deductions) if the exchange offer were accepted by holders of Banco Sabadell shares representing 100% of the share capital of Banco Sabadell. Such estimate reflects the net result of a combination of certain positive and negative impacts on the BBVA Group’s solvency. Specifically, these negative impacts include impacts of approximately -216 basis points from the consolidation of Banco Sabadell’s risk-weighted assets, -28 basis points from intangibles, -24 basis points from restructuring costs, which are subject to the approval of a restructuring plan (net of taxes and dividends and including 8 basis points of related prudential deductions), and -31 basis points from other prudential deductions, which would be partially offset by a positive impact of +248 basis points from negative goodwill (badwill) and from the capital increase (resulting from the exchange offer). The estimated CET1 ratio as of December 31, 2024