Liberbank : Merger with Unicaja looking more likely than ever with positive credit implications for Liberbank

As thoroughly discussed by market participants (including us), the CaixaBank-Bankia merger should spur a new wave of consolidation in the Spanish banking sector as the transaction could revive moves by other banks to gain scale or strengthen their franchises or business models to remain competitive. With the increased challenges from the tougher operating environment, banks need to improve their business model to tackle them and they have a limited range of available solutions to...