BBVA’s $20 Billion Bid Splits Key Investors Days Before It Ends

One of Banco Sabadell SA’s biggest investors said it will reject BBVA SA’s bid for its local rival, heightening uncertainty over the €17 billion deal just three days before it ends.

The offer “does not provide an attractive proposition,” a spokesperson for Zurich Insurance Group AG said Tuesday. The firm holds almost 5% in Sabadell. The announcement comes a week after another influential investor, David Martinez, said he will accept BBVA’s offer.

The opposite decisions by Sabadell’s second and third-biggest shareholders demonstrate the tightness of the tender offer, which will end on Friday. While BBVA’s leaders including Chairman Carlos ...