Caixabank and Bankia announce creation of biggest Spanish bank

MADRID (Reuters) – Spain’s Caixabank on Friday announced the terms of the acquisition of state-owned lender Bankia in an all-in share deal that will create Spain’s biggest domestic bank with around 600 billion euros($710.82 billion) in assets.

The banks said they expected annual cost synergies of around 770 million euros and new annual revenues of around 290 million euros.

Under the terms of the deal, Caixabank will offer 0.6845 shares of its own for every share in Bankia.

(Reporting by Jess Aguado; Editing by Ingrid Melander)