Company: BBVXF
Filing Date: 2025-02-21
Form Type: 20-F
Source: 0000842180-25-000010
Chunk: 19

Company: BANCO BILBAO VIZCAYA ARGENTARIA, S.A.
Filing Date: 2025-02-21
Form: 20-F
Item: Item 3
Chunk 19
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 securities reflect a market assumption that the Exchange Offer will be completed. In addition, the failure to complete the Exchange Offer may result in negative publicity or affect BBVA’s reputation in the investment community and may affect BBVA’s relationship with employees, clients and other partners in the business community. 
Following completion of the Exchange Offer, BBVA will be exposed to other risk factors specific to the Target Company’s business or otherwise arising from the Exchange Offer.
Any of the foregoing may cause the Group to incur significant unexpected expenses, may divert significant resources and management attention from the Group’s other business concerns, or may otherwise have a material adverse effect on the Group’s business, financial condition and results of operations.
The structure, capital, leverage, liquidity, MREL and resolution profile of the Group if the Exchange Offer is completed remains uncertain
Completion of the Exchange Offer may adversely affect the capital, leverage, liquidity, MREL or resolution profile of BBVA or the Group. The information regarding the expected capital impact on the CET1 ratio of the Group if the Exchange Offer is completed (see “Item 4. Information on the Company—Other Relevant Information”) represents unaudited estimates prepared by BBVA relating to BBVA and the Target Company. These estimates were prepared by BBVA, based on a number of assumptions and estimates and the publicly available information of the Target Company. Actual capital ratios of the Group following any closing of the Exchange Offer may be significantly different from BBVA’s estimates provided herein. In addition, the regulatory and contractual consequences of the Exchange Offer with respect to outstanding instruments issued by the Target Company have not been analyzed by BBVA. Completion of the Exchange Offer and/or the intended Merger could give rise to computability or succession-related issues with respect to certain outstanding instruments of the Target Company or lead to other consequences affecting the obligations of the Target Company and/or BBVA with respect thereto.
Furthermore, the closing of the Exchange Offer may increase the actual or perceived systemic importance of BBVA within the Spanish financial system. If the relevant regulators were to impose additional capital, leverage, liquidity, MREL or resolution requirements or buffers or any other requirements or constraints on the structure or operations of the Group following any closing of the Exchange Offer, this could require the Group to issue additional capital instruments or MREL and/or result in BBVA incurring additional costs.
Any such effects, imposition of additional requirements or buffers or imposition of other requirements or constraints could have a material adverse effect on the Group’s business, financial condition and results of operations.
FINANCIAL R