Spain To Infuse €1B Into Banco de Valencia

Spain is planning to infuse €1 billion in capital toBanco de Valencia,Bloombergreports. FROB, a state rescue fund, will provide Valencia with a €2 billion credit line and will take the lender under its administration.

The bank is part of the seven lenders that are to be seized or taken over by the Spanish central bank theBank of Spainamidst the Spanish property crash. Valencia is 27 percent-owned by holding companyBanco Financiero y de Ahorros,that controls Spain’s third-biggest bankBankia.

Click here for the story fromBloomberg.