The context of the MPS offer
Recently, Banca Monte dei Paschi di Siena (MPS) launched a public exchange offer to acquire Mediobanca, valued at around 13.3 billion euros. This move aims to challenge the duopoly of Italian banks, Intesa and Unicredit. However, Mediobanca responded with a clear rejection, calling the offer ‘hostile’ and contrary to its interests. The Mediobanca Board of Directors emphasized that the offer does not present an industrial and financial rationale, and could be destructive to the value
of the institution.
The reasons for the refusal
In the press release, Mediobanca listed several reasons for its refusal. First, the offer has no industrial value, threatening the identity and business profile of the institution, which focuses on segments with high added value. In addition, Mediobanca highlighted that the transaction could lead to a significant loss of customers in crucial sectors such as Wealth Management and Investment Banking, where independence and
reputation are fundamental.
Second, Mediobanca highlighted the difficulties in determining the intrinsic value of MPS shares, which have net assets burdened by tax activities and legal risks. These factors, together with previous losses and a high geographical concentration, make the offer unattractive to Mediobanca’s shareholders
.
The consequences on the market
Mediobanca’s rejection of the offer could have significant repercussions on the Italian banking market. The fragility of the MPS stock, highlighted by the drop in its value after the announcement of the OPS, suggests that the transaction may not be successful. In addition, the presence of common shareholders in MPS and Mediobanca, such as Delfin and Caltagirone, could further complicate the situation, creating conflicts of interest and inhomogeneity
in governance.
In summary, Mediobanca’s position against the MPS offer not only reflects internal concerns, but could also influence the stability and competitiveness of the Italian banking sector. With the uncertainty surrounding the transaction, investors and analysts are waiting for future developments
.
