Banca Monte dei Paschi di Siena launches 34 billion euro acquisition bids

Banca Monte dei Paschi di Siena (MPS) has approved two simultaneous and parallel voluntary share swap offers to acquire Banco BPM and Banca Generali. The combined value of these acquisitions is approximately 34 billion euros.

The offer for Banco BPM values the institution at roughly 25.35 billion euros, utilizing an exchange ratio of 1.567 new MPS shares for each Banco BPM share. The offer for Banca Generali values the entity at approximately 8.67 billion euros, with an exchange ratio of 6.958 new MPS shares per existing share.

This strategic move, led by MPS CEO Luigi Lovaglio, is intended to create an alternative to a 30.6 billion euro takeover proposal previously made by Intesa Sanpaolo. To further engage its shareholders, MPS also plans a 4 billion euro special dividend.

The completion of these offers is targeted for mid-February 2027, subject to regulatory approvals and shareholder acceptance. If both offers are fully accepted, MPS shareholders would hold approximately 50.1% of the combined group.