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Intesa Raises Paschi Offer, Sets Condition on Rival Deals
Intesa Sanpaolo wants to buy Banca Monte dei Paschi di Siena.
Paschi’s shareholders will consider two other proposed deals at an October 29 meeting.
Those deals involve Banco BPM and Banca Generali.
Intesa says its offer will end if shareholders approve either one.
Intesa also offered an extra 25 euro cents in cash for each Paschi share, but only if shareholders reject both deals.
The offer’s exchange ratio could also increase if Intesa pays an interim dividend in 2026.
Paschi’s board has questioned the offer’s price and plans to sell some assets.
Shareholders face a choice between Intesa’s offer and the plans proposed by Paschi’s chief executive.
Intesa Sanpaolo said its offer for Banca Monte dei Paschi di Siena will lapse if shareholders approve either of two rival transactions.
Paschi shareholders are set to consider the proposed Banco BPM and Banca Generali deals at an Oct. 29 meeting.
Intesa increased the cash component of its offer by 25 euro cents per Paschi share, conditional on shareholders rejecting both transactions.
Intesa said its exchange ratio will be adjusted upward if it distributes an interim dividend for 2026.
Monte dei Paschi’s board has raised concerns about Intesa’s offer price and proposed asset sales, while CEO Luigi Lovaglio put forward the rival deals.
- Who
- Intesa Sanpaolo, Banca Monte dei Paschi di Siena and Paschi CEO Luigi Lovaglio.
- What
- Intesa raised the cash component of its offer and said it will lapse if Paschi shareholders approve either of two rival transactions.
- Where
- Italy.
- When
- The shareholder meeting is scheduled for Oct. 29; the report was published Saturday.
- Why
- Intesa’s offer is conditional on shareholders rejecting Lovaglio’s proposed transactions involving Banco BPM and Banca Generali.
Intesa Sanpaolo’s proposal
Paschi CEO’s rival transactions
Paschi’s future
Intesa Sanpaolo’s proposal
Intesa is seeking to acquire Paschi and increased the cash component of its offer, while stating that the offer will lapse if shareholders approve either rival transaction.
Paschi CEO’s rival transactions
CEO Luigi Lovaglio has proposed separate transactions involving Banco BPM and Banca Generali, which require support from at least two thirds of votes cast.
Offer terms and assets
Intesa Sanpaolo’s proposal
Intesa raised its cash offer by 25 euro cents per share, subject to rejection of both rival deals, and pledged to sell about half of Paschi’s branches to Unipol to address potential antitrust concerns.
Paschi CEO’s rival transactions
Paschi’s board has raised concerns about Intesa’s offer price and the plan to divest a substantial portion of Paschi’s assets.
Key facts
- Cash increase
- 25 euro cents per Paschi share.
- Condition
- The increase applies if Paschi shareholders reject both proposed transactions.
- Meeting
- Paschi shareholders are due to consider the transactions on Oct. 29.
- Rival targets
- Banco BPM SpA and Banca Generali SpA.
- Voting threshold
- Italian law requires support from at least two thirds of votes cast for Lovaglio to proceed with the transactions.
- Potential exchange-ratio adjustment
- Intesa said the ratio will be adjusted upward if it distributes an interim dividend for 2026.
- Proposed branch sale
- Intesa has pledged to sell about half of Paschi’s branches to Unipol Assicurazioni to address potential antitrust concerns.
Sources
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