Latest news with #BPM-owned
Zawya
29-07-2025
- Business
- Zawya
Italy to tell EU terms for UniCredit's BPM bid remain despite deal collapse
ROME - Italy will tell the European Union the terms it imposed on UniCredit's bid for Banco BPM remain in place even after the collapse of the deal, sources said, responding to criticism from Brussels that could ultimately lead to disciplinary steps. UniCredit withdrew its offer for BPM on July 22, blaming government intervention for scuppering the 15 billion-euro ($17.3 billion) transaction. Days earlier, the European Commission warned Italy that it could have breached EU rules by using its so-called golden powers aimed at shielding key assets to rein in UniCredit's takeover plans, giving Rome 20 working days to reply to its objections. Italy will send a letter of reply to Brussels as early as this week which will invoke national security considerations for the use of the golden powers, two sources familiar with the matter told Reuters. The European Commission was not immediately available for comment. In the letter Italy will also say it has no plans to withdraw the decree that set the conditions for the collapsed deal, arguing that their legitimacy was largely upheld by an Italian court ruling this month, the sources added. Among several conditions, Italy told UniCredit it had to halt activities in Russia, except for payments to Western companies, by early 2026, to prevent savings collected by Banco BPM from benefiting Moscow's economy as it continues its war against Ukraine. The court ruling due to be referenced in the letter to Brussels axed some of the terms imposed by the government, but upheld the Russia-related conditions. Italy also asked UniCredit to keep investments in Italian securities of BPM-owned fund manager Anima Holding, a provision that UniCredit said the court had made non-mandatory. While the EU said corporate mergers should be vetted at the EU level to prevent member states taking unjustified measures in their regard, Economy Minister Giancarlo Giorgetti argued national security was not for European institutions to judge. Should the government fail to persuade the European Commission that its use of the golden power rules was justified, Brussels could adopt a decision ordering it to revoke the conditions. Italy's use of its 'golden power' legislation is also under EU scrutiny in a separate process called EU Pilot. ($1 = 0.8672 euros)
Reuters
29-07-2025
- Business
- Reuters
Italy to tell EU terms for UniCredit's BPM bid remain despite deal collapse
ROME, July 29 (Reuters) - Italy will tell the European Union the terms it imposed on UniCredit's bid for Banco BPM remain in place even after the collapse of the deal, sources said, responding to criticism from Brussels that could ultimately lead to disciplinary steps. UniCredit ( opens new tab withdrew its offer for BPM ( opens new tab on July 22, blaming government intervention for scuppering the 15 billion-euro ($17.3 billion) transaction. Days earlier, the European Commission warned Italy that it could have breached EU rules by using its so-called golden powers aimed at shielding key assets to rein in UniCredit's takeover plans, giving Rome 20 working days to reply to its objections. Italy will send a letter of reply to Brussels as early as this week which will invoke national security considerations for the use of the golden powers, two sources familiar with the matter told Reuters. The European Commission was not immediately available for comment. In the letter Italy will also say it has no plans to withdraw the decree that set the conditions for the collapsed deal, arguing that their legitimacy was largely upheld by an Italian court ruling this month, the sources added. Among several conditions, Italy told UniCredit it had to halt activities in Russia, except for payments to Western companies, by early 2026, to prevent savings collected by Banco BPM from benefiting Moscow's economy as it continues its war against Ukraine. The court ruling due to be referenced in the letter to Brussels axed some of the terms imposed by the government, but upheld the Russia-related conditions. Italy also asked UniCredit to keep investments in Italian securities of BPM-owned fund manager Anima Holding ( opens new tab, a provision that UniCredit said the court had made non-mandatory. While the EU said corporate mergers should be vetted at the EU level to prevent member states taking unjustified measures in their regard, Economy Minister Giancarlo Giorgetti argued national security was not for European institutions to judge. Should the government fail to persuade the European Commission that its use of the golden power rules was justified, Brussels could adopt a decision ordering it to revoke the conditions. Italy's use of its 'golden power' legislation is also under EU scrutiny in a separate process called EU Pilot. ($1 = 0.8672 euros)
CNBC
13-07-2025
- Business
- CNBC
Court scraps some of Rome's demands in UniCredit's BPM bid, keeps Russia exit
An Italian court has scrapped some of the conditions Rome had set to clear UniCredit's takeover offer for Banco BPM, except a request that it stop operating in Russia - which the Milan-based lender may struggle to comply with. The court's ruling published on Saturday fails to dispel uncertainty around the bid, which UniCredit first announced in November and formally launched in April, opening up a battlefront with Italy's conservative government. A representative for UniCredit said the government would now need to issue a new law decree. "UniCredit continues to evaluate the evolving situation and will take all relevant next steps in a timely manner," the spokesperson added. CEO Andrea Orcel was quoted as saying on Friday that a partial annulment of the government's decision could still leave the bank unable to pursue the offer. UniCredit's BPM bid is one of a dozen takeover offers reshaping Italian finance. Like BBVA's bid for Sabadell, which has met resistance in Madrid, it has seen the government emerge as a key player in banking consolidation. UniCredit also faces strong opposition from Germany's government over its investment in Commerzbank. Italy has invoked national security reasons for its decision, a stance that has drawn scrutiny from European Union authorities. "There can be no doubt about the properness" of the order to leave Russia, which is "totally legitimate," the court said in its ruling. Following supervisory demands, UniCredit has sharply cut its exposure to Russia, but it still runs a local subsidiary and needs approval from Russian authorities to leave the country. A Treasury official said Rome was satisfied with the ruling, since the court recognised as lawful the order to quit Russia, deemed the most important of the conditions. UniCredit has been told to cease its activities in Russia by early 2026, apart from payments handled for Western companies. The court axed a government's request that UniCredit keeps Banco BPM's loan-to-deposit ratio unchanged for five years, and that it maintains both its own and Banco BPM's project finance portfolios in Italy. It made non-mandatory a requirement for UniCredit to keep investments in Italian securities at BPM-owned fund manager Anima Holding. Italy set its terms in April using the government's so-called "golden power", which lets it intervene in transactions involving companies deemed strategic. UniCredit in November bid for Banco BPM after the latter became a shareholder in Monte dei Paschi di Siena, fuelling speculation that the government was advancing long-held plans to promote a combination of the two banks. Banco BPM has rejected UniCredit's approach as hostile and on Saturday it asked its suitor to clarify its intentions.
