Trading suspended in Spanish bank as crisis intensifies

The Spanish regulator has provisionally suspended trading in the shares of Banco de Valencia after reports the troubled regional bank faces a funding shortfall of €600m.

The regulator said it decided to suspend trading “with immediate effect”, before the Spanish stock market opened. The suspension is due to "circumstances that could disrupt normal trading,” the regulator said, but it did not say when the suspension was likely to be lifted. The bank’s shares closed on Friday at €0.87, down 1.87%. They have fallen around 75% in the past year, having traded nearer €4 last November. The regional bank is considered one of Spain’s weakest financial institutions and has aroused takeover interest in recent months. Banco de Valencia is part of the Bankia...