BBVA Backs Veridas Merger With Fourthline, Remains Shareholder in Combined Digital Identity Platform

Corporate Action

โดย Simply Wall St·Read original

Summary · why it matters

Banco Bilbao Vizcaya Argentaria is backing a merger between its portfolio company Veridas and identity verification provider Fourthline, creating a larger digital identity platform in which BBVA will remain a shareholder. The announcement follows a strong period for BBVA shareholders, with the stock returning 8.3% year to date and 80.2% over one year, though the share price slipped 2.4% on the day. A widely followed analyst narrative pegs BBVA's fair value at €20.97, implying the stock is about 5.3% overvalued relative to its last close of €22.07, while the market prices the bank at a P/E of 11.8 times, in line with the European banks average but below a fair ratio of 13.4 times.

Banco Bilbao Vizcaya Argentaria S.A ±

Impact on stocks 1

Financials▲ · 1 stocks

Banco Bilbao Vizcaya Argentaria S.A

± MixedCapitalrelevance

BBVA backs merger of portfolio companies, but stock slipped 2.4% on the day and analyst narrative suggests overvaluation.

Off-coverage companies 2

FourthlinePrivate▲ Positive

Capitalrelevance

Fourthline merges with Veridas to create larger digital identity platform, gaining scale and BBVA backing.

VeridasPrivate▲ Positive

Capitalrelevance

Veridas merges with Fourthline to create larger digital identity platform, with BBVA remaining as shareholder.