In 1580 the King of Portugal died, and Philip at once seized his country, forcing Prince Antonio, the last (illegitimate) scion of the House of Avis, to flee to England. Terceira, in the Azores, held out for some years; but in 1583 it was reduced by Philip’s famous Admiral, Alvaro de Bazan, Marques de Santa Cruz, after a naval victory off St. Michael’s. The possession of Portugal and its colonies vastly enhanced Philip’s power. The most important acquisition was that of the Portuguese Navy--eleven fine galleons, besides galleys and small craft. The Spanish Empire was now for the first time a real naval power. After his reduction of Terceira, Santa Cruz wrote to Philip. He suggested that his victorious squadron should be made the nucleus of a great fleet, and an attempt made to settle the English Question. His suggestions, if acted upon, would have meant the assembly of a far larger force than did actually sail against England five years later. Santa Cruz thoroughly understood that the English power was very formidable. Philip did not see his way to immediate action, but he issued orders in accordance with his Admiral’s suggestions. They were only very partially carried out, but something was done, and in this way began the ‘Enterprise of England.’ Certain aspects of the situation must be carefully held in mind. England and Spain, though still nominally at peace, were being steadily drawn into war by religious feeling, the jealously exclusive trade policy of Spain, and the determination of the English to thwart it. Philip, despite his religious fanaticism, was very loth to plunge into a war that was clearly against his interests, since the deposition of Elizabeth would mean the accession to the English throne of the half-French Mary Stuart. England, under Mary, might become by dint of sword and stake Roman Catholic in faith, but would lean to France in policy. The Pope believed that Philip must perforce conquer England, but Philip thought that he could gain the upper hand at sea without wiping England off the map. Though he was clumsily putting Santa Cruz’s precepts into practice and conniving at plots against Elizabeth, he did not wish for war, nor was he ready.