Unicaja to Buy Rival Liberbank in Boost to Spanish Deals (4)

Spain’s Unicaja Banco SA agreed to buy rival Liberbank SA in an all-share deal, adding to a flurry of deal-making in the nation’s finance industry.

Unicaja will pay 1 new share for every 2.7705 of Liberbank shares, issuing as much as 1.08 billion euros ($1.3 billion) of stock to fund the purchase, according to a statement on Tuesday. Unicaja shareholders will have 59.5% of voting rights in the new bank compared to 40.5% for Liberbank’s investors.

Spain is at the forefront of a wave of banking consolidation in Europe, driven by a weak economy and persistent low interest rates. Shareholders ...