Spanish lender Caixabank has dropped a takeover bid for Portugal lender Banco BPI, paving the way for the Portuguese lender to initiate talks with Banco Comercial Português on a possible merger.
Spanish bank said it took this decision after shareholders in the Portuguese lender refused to revoke company statutes that limit the votes of any single shareholder to 20%, a key condition of its bid that was launched in February 2015.
Caixabank said it would now consider other alternatives for its BPI stake.
Caixabank is the biggest single shareholder in Banco BPI with 44% stake. Isabel dos Santos, the daughter of Angola’s president, holds an 18.6% stake.