From Yahoo Finance: 2025-04-02 02:14:00

Credit Agricole has been given permission to increase its stake in Italy’s Banco BPM, complicating UniCredit’s 14 billion euro takeover bid set to launch on April 28. The bid is part of a wave of hostile takeovers in Italy’s banking sector post bad loan clean-up. UniCredit’s offer will run until June 23, with Credit Agricole having a 19.8% stake in Banco BPM. UniCredit CEO Orcel aims to discuss solutions with BPM investors, but regulations require equal treatment for all shareholders. Orcel holds leverage in UniCredit’s deal with Credit Agricole’s Amundi, set to end in 2027. There are concerns about difficult negotiations between UniCredit and Credit Agricole, reflected in Amundi’s 6.9% share drop. Orcel remains hopeful for talks with Credit Agricole, while Credit Agricole wants to maintain partnerships with Banco BPM. Credit Agricole’s strategic defense involves becoming Banco BPM’s main investor and buying derivatives to bolster its holdings against UniCredit. UniCredit’s BPM bid is independent of its plans with Commerzbank, where Orcel has acquired a stake and aims for potential acquisition discussions. UniCredit’s interest in asset management is crucial amid declining interest rates, as Banco BPM sought to acquire Anima Holding before UniCredit’s bid. Banco BPM’s decisions give UniCredit the option to drop the BPM bid, with the discount to market value reduced to 500 million euros after the loss of capital benefits.

Read more: UniCredit nears launch of Banco BPM bid as Credit Agricole ups stake