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Unicaja to take 59.5% of rights in new bank after merging with Liberbank

MADRID, Dec 30 (Reuters) - Spanish lender Unicaja would take 59.5% in the new entity it will form after combining with rival Liberbank, which will hold the rest, both banks said in a statement on Wednesday.

The merger will allow the combined bank, the country’s fifth biggest in terms of assets, to make 192 million euros ($235.72 million) in annual cost savings and a capital ratio of 12.4% after 1.2 billion euros costs related to the merger, the banks said.

The new combined bank aims at a return on tangible equity of around 6% in 2023.

The boards of Unicaja and Liberbank approved on Tuesday a merger in which Unicaja will fully absorb its rival to create a bank with 110 billion euros in assets.

The deal follows the approval of a merger earlier this month between state-owned Bankia and Caixabank to create the largest domestic lender and marks an acceleration of the sector’s consolidation after BBVA and Sabadell called off merger talks last month. ($1 = 0.8145 euros) (Reporting by Inti Landauro; editing by Uttaresh.V)

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