Banco BPM rejects the takeover bid (takeover bid) launched by UniCredit to acquire all of its shares in exchange for 10.1 billion euros payable entirely in shares, according to Ep. “The offer was in no way previously agreed upon with the bank,” stated the board of directors of Banco BPM.
The board of directors of Banco BPM has unanimously confirmed, on a preliminary basis and in the best interest of the shareholders, “that the offer indicates a consideration per share – entirely in kind – that reflects a premium of 0.5% over the official price of Banco BPM on November 22, and an implicit discount of 7.6% on yesterday’s official price.
In this context, the company has indicated that “these conditions are quite unusual for operations of this type and, in the opinion of the board of directors, do not in any way reflect the underlying profitability and the additional potential for value creation for Banco shareholders. BPM».
It has also been considered that the offer exposes Banco BPM’s stakeholders to the uncertainty associated with the outcome of the expansion initiatives launched by UniCredit in Germany, as well as a significant dilution of its current geographic footprint, according to Ep.
Takeover bid conditions
UniCredit, which yesterday stressed that the takeover bid for Banco BPM is “autonomous and independent of the investment made by UniCredit in the share capital of Commerzbank”, contemplates the payment of 0.175 newly issued shares of the entity led by Andrea Orcel for each share of Banco BPM, which implies a price of 6,657 euros per share.
In the context of the transaction, UniCredit currently expects to incur integration costs of around €2 billion gross in the first year, and to assume incremental provisions for credit losses of at least €800 million gross.
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