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EU Warns Spain Over BBVA-Sabadell Merger Intervention

EU Warns Spain Over BBVA-Sabadell Merger Intervention

The European Union began proceedings against Spain over its intervention in banking mergers after the government blocked the legal combination of BBVA BBVA 0.28%increase; green up pointing triangle and Sabadell SAB 0.35%increase; green up pointing triangle for at least three years.
The European Commission, the EU's executive arm, said Thursday in a formal notice that Spanish laws that give Madrid authority to intervene in banking acquisitions undermine the exclusive competences of the European Central Bank and national supervisors, and restrict the fundamental EU freedoms of establishment and capital movements.
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