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May 11, 2015

Monte Paschi sees return to profit, shaping up for M&A

MILAN, May 11 (Reuters) – Monte dei Paschi di Siena
, expects to return to profit in 2015 for the time in
four years and expects to launch a 3 billion euro rights issue
this month as Italy’s third largest lender shapes up for a
merger.

The bank, which has lost 14.6 billion euros ($16.3 billion)
since 2011 and emerged as the weakest lender in a Europe-wide
review of banks last year, said it was starting to see the first
positive signs from a painful restructuring plan.

May 8, 2015

Monte dei Paschi returns to profit, delays business plan targets

MILAN (Reuters) – Banca Monte dei Paschi di Siena (BMPS.MI: Quote, Profile, Research, Stock Buzz) posted its first quarterly net profit in three years but delayed its business plan targets by a year, underscoring the challenges Italy’s third-biggest lender faces to make money.

Monte dei Paschi must carry out a 3-billion-euro ($3.4 billion) capital increase by late July to plug a shortfall exposed by a European review of lenders, and has been told by the European Central Bank (ECB) to find a merger partner quickly to fix its problems.

Apr 30, 2015

Monte Paschi, Nomura in informal talks to end derivative row -sources

MILAN/ROME, April 30 (Reuters) – Monte dei Paschi di Siena
and Japanese broker Nomura are sounding each
other out over a possible settlement to close a derivative trade
that is bleeding money at the Italian bank, two sources with
knowledge of the matter said.

The 2009 trade, known as Alexandria, is at the heart of a
scandal that rocked Monte dei Paschi in 2012 just as it was
being hit hard by the euro zone debt crisis. The trade is also
at the centre of legal proceedings in Italy and Britain.

Apr 25, 2015

UBI doesn’t rule out Monte Paschi tie-up but won’t be pushed into bad deal: CEO

BERGAMO, Italy (Reuters) – UBI (UBI.MI: Quote, Profile, Research, Stock Buzz), Italy’s fifth-biggest bank, does not rule out a tie-up with troubled Monte dei Paschi di Siena (BMPS.MI: Quote, Profile, Research, Stock Buzz) but will not be pushed into an unwanted deal, its chief executive said on Saturday.

UBI is one of 10 cooperative banks that the government is forcing to convert into joint-stock companies within 18 months.

Apr 24, 2015

Italian prosecutors seek trial for Monte Paschi, Nomura over derivative trade

MILAN, April 24 (Reuters) – Milan prosecutors are requesting
that troubled lender Monte dei Paschi di Siena and
Japanese bank Nomura be sent to trial in Italy over a
2009 derivative trade, judicial sources said.

The trade, known as Alexandria, is at the heart of a scandal
that rocked Monte dei Paschi in 2012 just as it was being hit
hard by the euro zone debt crisis.

Apr 16, 2015

Closure of ‘Alexandria’ trade would cost Monte Paschi 1 billion euros

SIENA, April 16 (Reuters) – The European Central Bank (ECB)
has told Monte dei Paschi di Siena to close a
loss-making derivatives trade with Nomura by late July,
a move that would generate a pre-tax loss of 1 billion euros ($1
billion), according to a letter sent by the bank to prosecutors.

The letter, dated Feb. 18 and seen by Reuters, adds to
pressure on Monte Paschi to settle the trade, known as
Alexandria, as the bank pursues a related civil lawsuit in which
it is seeking 750 million euros in damages from Nomura and
former Monte dei Paschi executives.

Apr 11, 2015

Popolare Milano CEO says open to looking at tie-ups

MILAN, April 11 (Reuters) – Banca Popolare di Milano
is ready to start looking at possible tie-ups and
would like to seal a merger before its planned conversion into
joint-stock company in the next 18 months, the chief executive
of the Italian cooperative bank said.

Italy has passed a landmark reform of the ownership
structure of large cooperative lenders which forces them to drop
their cooperative status and become joint-stock companies.

Apr 11, 2015

Shock therapy to spur wave of mergers among Italy’s ‘popolari’ banks

MILAN/VICENZA (Reuters) – Italy’s biggest cooperative banks are bracing for a wave of mergers following a government reform that forces them to convert into joint stock companies within 18 months.

The reform aims to strengthen Italy’s banking sector, which fared the worst in a Europe-wide health check of lenders last year. The government says it will also ultimately support bank lending to businesses, which has been shrinking for the past three years as Italy grappled with its longest post-war recession.

Apr 10, 2015

Monte Paschi says Nomura exposure more than one third of capital

MILAN, April 10 (Reuters) – Italian bank Monte dei Paschi di
Siena said on Friday it had overstepped regulatory
limits with regards to its financial exposure to Japanese bank
Nomura, in a surprise disclosure that could raise
questions about whether the Italian lender’s plans to raise
capital and seek a buyer are on track.

Monte dei Paschi di Siena, Italy’s third largest bank, said
in a statement that it was looking at all possible measures to
cut the exposure, or potential risk related to loans to Nomura,
which it said equalled more than one third of its core capital
at the end of last year.

Mar 30, 2015

Yoox and Net-a-Porter in talks to create industry leader

PARIS/MILAN (Reuters) – Italian online fashion retailers Yoox and Richemont’s Net-a-Porter confirmed merger talks were under way to create a leader in the fast-growing online luxury market.

The deal, which could be announced as early as on Tuesday, would combine Yoox’s leading discounts offer with Net-a-Porter’s full price, current season items.