Intesa Sanpaolo increased its takeover bid for Banca Monte dei Paschi di Siena to 31.4 billion euros ($35.34 billion), up from 30.6 billion euros, by raising the cash component by 0.25 euros per share to 3.8 billion euros. The offer includes both cash and stock components based on Intesa’s June share price. Intesa warned it could withdraw the bid if Monte dei Paschi shareholders approve rival takeover proposals for Banco BPM and Banca Generali, valued together at nearly $40 billion.
Delfin, the Del Vecchio family’s holding company and Monte dei Paschi’s largest shareholder with a 17.6% stake, committed to tender its shares to Intesa’s offer. Monte dei Paschi, the world’s oldest operating bank, launched its own bids in August to counter Intesa’s advance. Shareholders are set to vote on the rival deals later this month.
Intesa said the competing proposals are complex, economically interdependent, and uncertain, and would complicate integration while it digests its recent Mediobanca acquisition. Monte dei Paschi did not comment on the updated offer.
Source: Wall Street Journal US Business · Summarized by HeadlinesBriefing