According to the Financial Time’s sources, Banca Popolare Italiana (BPI), which is valued at around E4.5 billion, will whittle down the list of suitors to a shortlist of two or three. The list of bidders currently includes Banca Popolare di Milano, Banca Popolare di Verone e Novara, Banche Popolari Unite and Banca Popolare dell’Emilia Romagna.
The probable takeover of BPI is another instance of the general trend of consolidation within the Italian banking sector. Banca Intesa and Sanpaolo IMI, two of the country’s top three banks, announced at the end of August that they are to merge.
Foreign investors were interested in a takeover bid for BPI, but pressure from Italian authorities has encouraged consolidation within the country.
BPI was at the heart of the Italian banking scandal earlier this year, which related to its battle with Dutch lender ABN Amro for control of Banco Antonveneta. As a result of the scandal, which led to the arrest of its then chief executive, BPI found itself in a weakened financial position.
