Latest news with #BancaSistema
Reuters
30-06-2025
- Business
- Reuters
Italy's Banca CF+ launches takeover bid for Banca Sistema
ROME, June 30 (Reuters) - Banca CF+, an Italian bank controlled by U.S. investment fund Elliott Management Corp, said on Monday it was launching a takeover bid for Banca Sistema ( opens new tab. The public exchange offer is the latest in a number of M&A deals to shake the Italian banking sector in recent months. Banca CF+ is offering 1.8 euros per share of Banca Sistema, including 1.382 euros in cash and 0.418 euros in shares of Kruso Kapital ( opens new tab, a unit of Banca Sistema, Banca CF+ said in a statement. Banca Sistema did not immediately respond to an emailed request for comment from Reuters. Banca Sistema's shares on the Milan bourse closed at 1.964 euros on Friday, giving the bank a market capitalisation of around 158 million euros ($185.43 million). "The Italian banking sector is going through a phase of consolidation. Even in the segment of specialized banks, there is a need for larger and more efficient operators," Banca CF+ CEO Iacopo De Francisco said in the statement. "The integration of Banca CF+ with Banca Sistema allows us to combine skills, technologies and industrial vision to create a more solid and innovative operator, capable of growing in the chosen business segments," he said. ($1 = 0.8521 euros)
Bloomberg
29-06-2025
- Business
- Bloomberg
Elliott's Italian Bank Is Said to Plan Offer for Banca Sistema
Banca CF+, an Italian financial services firm controlled by Elliott Management Corp., is set to launch an offer for Banca Sistema SpA, according to people with knowledge of the matter. The offer would consist of cash and shares of Banca Sistema's unit Kruso Kapital SpA, said the people, who asked not to be identified because the plan isn't public.
Yahoo
12-05-2025
- Business
- Yahoo
Banca Sistema SpA (FRA:B2S) Q1 2025 Earnings Call Highlights: Robust Revenue Growth Amid Rising ...
Release Date: May 09, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Banca Sistema SpA (FRA:B2S) reported a 60% year-on-year revenue growth, with adjusted interest income more than doubling. Pre-tax profit almost tripled year-on-year, with net income reaching EUR 11.6 million, achieving 45% of the previous year's total profits in just one quarter. The factoring division saw a 64% increase in net profit, and the pawnbroking division experienced a 250% increase. The cost of funding decreased from 3.62% to 3.1%, positively impacting profitability. Capital ratios were slightly better than forecasted, with CET1 ratio at 12.4% and total capital ratio at 14.9%. Costs increased by 9% year-on-year due to higher employee numbers and administrative expenses. The cost of risk rose to 57 basis points from 17 basis points a year ago. Total assets decreased by 4% quarter-on-quarter due to lower financial portfolio and customer loans. The CQ division continued to operate at a loss, although the loss was reduced from EUR 4.2 million to EUR 2.8 million year-on-year. Gross past due loans increased significantly from EUR 101 million to EUR 333 million due to new classification rules. Warning! GuruFocus has detected 2 Warning Signs with FRA:B2S. Q: Could you provide an outlook for the adjusted income margin evolution this year and your expectations on the factoring turnover? A: (Unidentified_6) We expect the adjusted income margin to grow robustly up to year-end. Although the Q1 margin was positively impacted by LPI accruals related to European Court of Human Rights rulings, this effect is not expected to repeat in the same magnitude. However, the margin should remain robust and stable. (Unidentified_5) For factoring, we expect the outstanding to remain flat over the year, with more exposure towards central governments and less towards the NHS system. Q: Why is gold not considered a valuable asset for covering risk in pawnbroking? Also, can you comment on the cost of funding and common equity? A: (Unidentified_5) Gold is not considered eligible collateral under CRR3, which applies a 75% risk weight. We have started issuing CLNs to reduce capital consumption. (Unidentified_6) The cost of funding improved from 3.6% last year to 3.2% in Q1 2025, and we target an average of 3% for the year. The improvement in funding costs will benefit the consolidated P&L, but the CQ division is still expected to report a net loss for 2025. (Unidentified_5) Common equity is expected to improve over time, but any decision by the regulator to remove restrictions is uncertain. Q: Can you provide more details on LPI contributions and cost of credit expectations for the year? A: (Unidentified_5) We are negotiating significant positions that could lead to LPI accruals, especially with municipalities exiting conservatorship. More decisions from the Strasbourg court could also impact LPI. (Unidentified_6) The cost of credit provisions this quarter are part of normal credit assessment and are likely higher than the quarterly average we expect for the year. We do not anticipate any releases like those in Q4 last year. Q: What is driving the increase in personnel costs, and will this trend continue? A: (Unidentified_5) The increase in personnel costs is due to new colleagues from Portugal and an increase in the national labor contract for bankers. We expect these costs to remain stable now, but they are higher compared to the same quarter last year. (Unidentified_6) The Q1 cost is not a spike, and you can expect it to remain stable up to year-end. Q: Is the rise in the cost of credit a conservative measure, or is there another reason? A: (Unidentified_5) The movement in the cost of credit is part of the normal process and not due to any specific situation. (Unidentified_6) It varies from quarter to quarter but does not indicate any particular concern. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
