MILAN (Reuters) – Intesa Sanpaolo mentioned on Friday it had employed JP Morgan, Morgan Stanley, UBS and native dealer Equita SIM to finish a group of advisers led by Mediobanca supporting Italy’s greatest retail financial institution in its takeover supply of rival UBI Banca.
Intesa (ISP.MI) this month unveiled a shock 4.9 billion euro ($5.three billion) bid for smaller peer UBI Banca (UBI.MI), providing 1.7 new Intesa shares for every UBI share tendered to create the euro zone’s seventh-largest banking group with a give attention to asset administration and insurance coverage.
Intesa labored on the supply, the largest European banking deal because the world monetary disaster, with Milanese service provider financial institution Mediobanca, which stays its sole M&A and lead monetary adviser.
Intesa beefed up its group of advisers after a cool reception for its supply from UBI’s board and the outright rejection by two teams of native shareholders holding roughly a mixed 20% of the financial institution’s capital.
A 3rd group of Italian shareholders has but to take a stance on the supply.
An extra rejection could complicate issues for Intesa, which has set a take-up threshold of two-thirds of UBI’s capital for its supply to achieve success – although it reserves the precise to decrease it to 50% plus one share.
UBI, which is working with Credit score Suisse on attainable protection methods, is awaiting the publication of the supply prospectus, attributable to be filed with Italy’s market regulator by the top of subsequent week, to have extra detailed info.
An individual aware of the matter mentioned UBI was set to enlist Goldman Sachs alongside Credit score Suisse because it seeks to fend Intesa off. Goldman declined to remark.
UBI can be working with high Milanese authorized agency BonelliErede, whereas Intesa’s authorized adviser is Pedersoli.
Intesa’s midnight blitz on UBI got here solely hours after Italy’s fifth-largest financial institution had offered its personal marketing strategy to 2022 to the market.
Because the strongest amongst Italian mid-sized banks, UBI has been tipped to play a outstanding function in a long-awaited new spherical of mergers amongst second-tier lenders within the nation.
Sources have mentioned the financial institution needs to retain an lively function relatively than changing into prey and is assessing potential various offers for which it might first want to hunt shareholder approval.
($1 = 0.9201 euros)
