Spanish Business News

Nov. 21 (Bloomberg) -- Spain plans to inject as much as 1 billion euros ($1.35 billion) of capital into Banco de Valencia SA, the latest of seven lenders to be either seized or taken over by the central bank.

A state rescue fund, known as FROB, will administer the Valencia, Spain-based lender and provide it with a 2 billion- euro credit line, the Bank of Spain said today in a statement. The central bank removed the administrators of Banco de Valencia at the request of the lender’s board, the regulator said.

Banco de Valencia is the latest lender to fall victim to a property crash that has piled up 176 billion euros of soured assets on the books of Spanish banks. Mariano Rajoy, who yesterday won Spain’s general elections, has pledged to speed up a clean-up of the country’s banks that has so far cost 17.7 billion euros.

Read the full article at Bloomberg Business Week