Overview
- Banco Bpm’s board unanimously voted to halt exploratory consultations with Banca Monte dei Paschi di Siena on Friday, July 31, saying nearly two months after a June 7 proposal the conditions for a shared agreement had not materialized.
- Crédit Agricole, which holds a 29.3% stake in Banco Bpm, told investors it had not been formally consulted and questioned whether a merger with Mps would create value, and its public opposition was cited as the decisive factor for the withdrawal.
- The decision leaves Intesa Sanpaolo’s OPAS on Mps as the clearest path to control for now because the Banco Bpm alternative is no longer progressing.
- Mps said it took note of Banco Bpm’s choice and will continue to assess strategic options, including its planned integration with Mediobanca and other potential transactions.
- The episode underscores the power of large shareholders and the role of regulators, since any change of control would need approvals such as from the ECB, and it shifts the shape of Italian banking consolidation while raising questions about future deals, market competition and local banking networks.