Sabadell, Caixabank Shares Gain on Reports of Relocation

By Marc Navarro Gonzalez Features Dow Jones Newswires

Shares of Caixabank SA (CABK.MC) and Banco de Sabadell SA (SAB.MC) trade higher on press reports that the Catalonia-based banks could relocate their head offices due to uncertainty surrounding a potential declaration of regional independence.

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Caixabank trades 1.7% higher at EUR3.98 and Sabadell trades 3.7% higher at EUR1.65.

Spanish newspaper El Mundo reports that Caixabank will hold a meeting later on Thursday to discuss the potential temporary transfer of its registered office from Catalonia to the Balearic Islands--the bank's second-strongest region--to protect clients.

According to El Pais, Sabadell is also holding an extraordinary board meeting Thursday to discuss a potential temporary move, citing the bank. El Pais also said Madrid, Alicante and Oviedo are being considered as locations for Sabadell's new registration. New registration doesn't mean operations would be moved from Barcelona.

Sabadell couldn't be reached for comment. Caixabank declined to comment.

Shares in Spanish banks have been lower this week due to Catalonia's push for independence, which brought a contentious referendum over the weekend and a general strike on Tuesday.

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Write to Marc Navarro at marc.navarrogonzalez@wsj.com

(END) Dow Jones Newswires

October 05, 2017 06:51 ET (10:51 GMT)