Banco BPM SpA logo

BAMI - Banco BPM SpA News Story

€1.39 0.0  0.1%

Last Trade - 29/09/20

Sector
Financials
Size
Mid Cap
Market Cap £1.91bn
Enterprise Value £14.76bn
Revenue £4.65bn
Position in Universe 93rd / 717

UPDATE 1-UBI CEO steps down after successful Intesa bid

Mon 3rd August, 2020 5:36pm
(Adds details)
    MILANO, Aug 3 (Reuters) - Italian banker Victor Massiah said
on Monday he was stepping down as head of UBI Banca  UBI.MI 
after nearly two decades with the bank, following a successful
takeover bid by rival Intesa Sanpaolo  ISP.MI .
    Intesa last week secured control of UBI with 90% investor
backing despite fierce opposition to the deal from its target's
management.  urn:newsml:reuters.com:*:nL5N2F19N8
    Determined to snap up Italy's healthiest second-tier bank
and drive profits through cost cuts, Intesa had upped the terms
of its bid by nearly a fifth, eventually winning over local UBI
investors who had first rejected the offer.  urn:newsml:reuters.com:*:nL5N2EZ1EK
    "We're handing over a group that is solid and reasonably
profitable given the circumstances," the 61-year-old banker told
a media call.
    "The country's biggest bank fought long and hard for UBI, I
don't think it'd have shown such determination if this wasn't
such an interesting target," Massiah said.
    He said the 652 million euro ($765.97 million) cash
sweetener Intesa had added to its initial all-paper bid only
partially reflected UBI's real value. UBI has rejected the
improved bid as too low.  urn:newsml:reuters.com:*:nL5N2EO25V
    "We took a tough and combative stance to protect our
shareholders," Massiah said.
    He said UBI had shunned potential merger deals to avoid
tapping shareholders for large amounts of cash.
    UBI had been tipped to lead long-awaited consolidation among
mid-sized peers in Italy. Only weeks before Intesa unveiled its
bid, UBI had been discussing a merger with BPER Banca  EMII.MI 
and sources have said it had held talks with Banco BPM  BAMI.MI 
in the past.
    "Could UBI have clinched an extraordinary deal? Yes. The
management's ego would have certainly liked heading a bigger
group but ... that was put aside in the interest of
shareholders."
    Massiah, a rugby enthusiast, said he would "bike up and down
breathing fresh mountain air" for now, when asked about his
future plans.
    UBI on Monday posted an 82% rise in second-quarter net
profit helped by lower loan loss provisions which more than
offset weakening revenues.  urn:newsml:reuters.com:*:nL8N2F543R


($1 = 0.8512 euros)

 (Reporting by Andrea Mandalà; editing by Valentina Za and Jane
Merriman)
 ((andrea.mandala@thomsonreuters.com; +390266129436;))
© Stockopedia 2020, Refinitiv, Share Data Services.
This site cannot substitute for professional investment advice or independent factual verification. To use it, you must accept our Terms of Use, Privacy and Disclaimer policies.