BFF Bank shares hit record low after prosecutors open probe into alleged false accounting

BFF Bank SpA

17/02/2026 11:01

MILAN, Feb 17 (Reuters) - Shares at BFF Bank BFF.MI hit a record low on Tuesday after news of a probe by Milan prosecutors at the Italian bank which specialises in financing public sector suppliers through factoring - buying their claims at a discount.

The probe focuses on the accuracy of BFF's financial statements and its disclosure of a 95 million euro ($113 million) one-off charge earlier in February, sources told Reuters on Monday.

BFF has confirmed it is aware of the investigation, which began at the end of 2023, and said it has been fully cooperating with prosecutors.

BFF shares were down 5.8% at 3.62 euros by 1045 GMT on Tuesday, having hit a record low at 3.39 euros, after sinking 12% on Monday on news of the probe.

Shares have dropped more than 60% year-to-date.

Broker Banca Akros rates the stock 'Neutral' with a target price of 5.5 euros, while Equita keeps a 'Hold' rating with a 6 euro target.

The bank restated its 2024 accounts after identifying a 54 million euro misclassification in factoring proceeds.

It also announced plans to book approximately 95 million euros in one-off charges in 2025 on its portfolio of receivables.

The Bank of Italy had previously banned BFF from paying dividends after challenging its classification of overdue public sector loans.

"BFF has, from the very beginning, made itself available to cooperate with the public prosecutor's office," the bank said in a statement.

No individuals are currently under investigation, the sources said.

 (Reporting by Andrea Mandalà, editing by Valentina Za)

 ((andrea.mandala@thomsonreuters.com; +390680307738;))