Italy's Banca Mediolanum SpA said it will move the legal base of its Spanish subsidiary to Valencia from Barcelona amid escalating political tensions in Catalonia following an Oct. 1 independence referendum.

In a note, the bank said the move is aimed at keeping the unit under the supervision of the ECB and stressed that its Spanish operations will remain in Barcelona, Reuters reported Oct. 6.

Spanish lenders Banco de Sabadell SA and CaixaBank SA also announced plans to relocate their headquarters from Catalonia, while the Spanish government issued a decree that makes it easier for companies to move their headquarters.