Way clear for Spanish Abbey bid

15th September 2004, Comments 0 comments

15 September 2004, LONDON - HBOS said Wednesday it had decided against bidding for the British mortgage bank Abbey National, clearing the way for an agreed offer from Spain's Banco Santander Central Hispano (SCH).

15 September 2004

LONDON - HBOS said Wednesday it had decided against bidding for the British mortgage bank Abbey National, clearing the way for an agreed offer from Spain's Banco Santander Central Hispano (SCH).

In a brief statement, HBOS said it believed the "shareholder value inherent in its existing prospects is superior to that likely to be achieved through this combination."

HBOS said its decision followed an analysis of a potential bid and added that even though it saw a "very substantial opportunity to create synergies, and a strong competition case with which to engage the regulators", HBOS had decided not to proceed with an offer.

The European Commission is set to conclude its preliminary investigation into SCH's bid on competition grounds by 17 September.

[Copyright EFE with Expatica]

Subject: Spanish news

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