The board of Banca Monte dei Paschi di Siena, one of Italy's oldest banks, on Friday formally set out the financial terms of two voluntary public exchange offers for all the shares in Banco BPM and Banca Generali.
The combined proposal is worth around €34 billion and stands as a direct alternative to the takeover bid or Opas — a public offer combining cash and shares — launched by Intesa Sanpaolo for the same Siena-based bank. Monte dei Paschi di Siena's own offers are structured as Ops or share-only, with no cash component.
The Banco BPM offer carries a total consideration of €25.3 billion, with an exchange ratio of 1.567 Monte dei Paschi di Siena shares for each share tendered. The Banca Generali offer is worth €8.72 billion, with an exchange ratio of 6.958 Monte dei Paschi di Siena shares. Together, the deals are designed to deliver immediate value creation and strengthen the shareholder base of the new group.
Lovaglio eyes European scale
The Monte dei Paschi di Siena bid follows an attempted takeover of the Siena bank by Intesa Sanpaolo, Italy's largest banking group, in partnership with Unipol and Bper Banca.
