Company: BBVXF
Filing Date: 2025-08-12
Form Type: DRS
Source: 0000950123-25-007520
Chunk: 77

Company: BANCO BILBAO VIZCAYA ARGENTARIA, S.A.
Filing Date: 2025-08-12
Form: DRS
Chunk 77
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 withdraw the exchange offer as a result of the Council of Ministers’ Authorization.

The Council of Ministers’ Authorization authorized the economic concentration resulting from completion of the exchange offer subject to
the Autonomy Condition during the No-merger Period, which, among other matters, requires that, during the No-merger Period, BBVA and Banco Sabadell maintain separate legal personality and shareholders’ equity and that BBVA and Banco Sabadell
preserve their respective autonomy in the management of their operations. The Council of Ministers’ Authorization also requires compliance with the CNMC Commitments and establishes certain reporting obligations to the Autonomy Condition’s
supervisory body, the SEEAE.

In compliance with the Autonomy Condition, during the No-merger Period, BBVA and Banco Sabadell will need to
adopt their respective management decisions considering the maximization of their respective values as independent entities.

As a result
of the Autonomy Condition in the Council of Ministers’ Authorization, during the No-merger Period, BBVA will not achieve the full cost savings and operating efficiencies that it would have been able to achieve if it were not subject to the
Autonomy Condition, and in particular, if a merger with Banco Sabadell were consummated following completion of the exchange offer.

In
particular, BBVA’s ability to realize synergies as a result of completing the exchange offer will be limited during the No-merger Period.

On July 15, 2025, BBVA filed an administrative appeal before Spain’s Supreme Court, challenging the legality of the Autonomy Condition in
the Council of Ministers’ Authorization (the Administrative Appeal). As of the date of this offer to exchange/prospectus, the Administrative Appeal is pending. If the Autonomy Condition is declared void as a result of the Administrative Appeal,
BBVA may be able to consummate a merger with Banco Sabadell sooner than would otherwise be permitted pursuant to the Council of Ministers’ Authorization. There is no guarantee that BBVA will prevail in the Administrative Appeal.

The synergies that BBVA has estimated would be realized and the restructuring costs BBVA has estimated would be incurred following the
acquisition of control of Banco Sabadell following completion of the exchange offer (see “BBVA’s Reasons for the Proposed Exchange Offer—Estimated Synergies”) have been estimated without access to non-public information relating
to Banco Sabadell and on the basis of BBVA’s experience in prior transactions. However, the information used by BBVA may not be correct