MADRID, Sept 22, 2025 (BSS/AFP) - Spanish banking giant BBVA raised its takeover offer for Sabadell on Monday as it seeks to lure its smaller rival's shareholders before the October 7 deadline to accept its hostile bid.

The announcement came 10 days after Sabadell's board urged shareholders to reject BBVA's bid, saying it undervalues the bank.

BBVA said in a statement on Monday that it was raising the offer to Sabadell shareholders by 10 percent to 3.39 euros per share.

The new offer values Sabadell at 19.5 billion euros ($22.9 billion).

BBVA said it would not make further improvements to the bid or extend the deadline for shareholders to accept it.

"With this improved offer, we are putting an extraordinary proposal in the hands of Banco Sabadell shareholders," BBVA chairman Carlos Torres Vila said in the statement.

The proposed deal aims to create a European banking powerhouse capable of competing with industry heavyweights such as Santander, BNP Paribas and HSBC.

BBVA, Spain's second-largest bank with a large footprint in Latin America and Turkey, announced its all-share bid in May 2024.

The tender offer was launched on September 8 with a 30-day window that closes on October 7.