BBVA Hits 2007 High as Investors Cheer Failure of Sabadell Bid

BBVA SA’s shares soared to the highest level in 18 years after its takeover bid for rival Banco Sabadell SA collapsed as investors cheered the end to a year and a half of uncertainty and the prospect of higher payouts.

“The announcement that BBVA has failed in its attempted takeover of Sabadell comes with some relief, not because the transaction was a bad one, but because the uncertainty overhanging both banks had lasted far too long,” RBC analyst Benjamin Toms wrote in a note.