MADRID Nov 27 Spain's bank restructuring fund
called FROB confirmed on Tuesday that the country's third
largest bank Caixabank will buy nationalised bank
Banco de Valencia.
The deal will see the FROB inject 4.5 billion euros of funds
into Banco de Valencia, which will then be sold to La Caixa for
the nominal fee of 1 euro ($1.29).
The FROB will also assume losses of up to 72.5 percent for a
period of ten years in certain assets held by Banco de Valencia,
one of the hardest hit by the bursting of a property bubble in
Spain in 2008.
($1 = 0.7733 euros)
(Reporting by Nigel Davies; editing by Rodrigo de Miguel)