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Norges opposes MPS bids for Banco BPM and Banca Generali

Norway’s sovereign wealth fund will oppose Monte dei Paschi di Siena’s proposed acquisitions of Banco BPM and Banca Generali at the 29 October shareholder meeting. Norges holds about 3 per cent of MPS. Other shareholders and voting advisers have disclosed positions on different parts of the programme, while the fund’s opposition does not establish a decision to tender into Intesa’s rival offer.

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Generated view of a stone institutional building beside a Norwegian flag, with recessed windows, a paved forecourt and a cobbled street.

Norway’s fund opposes the two acquisition offers

Norges Bank Investment Management, which manages Norway’s sovereign wealth fund, will vote against Monte dei Paschi di Siena’s proposed offers for Banco BPM and Banca Generali. The fund holds about 3 per cent of the Italian bank, known as MPS. Shareholders are due to vote on the proposals on 29 October.[1], [2]

The proposals form part of chief executive Luigi Lovaglio’s programme, which also includes incorporating Mediobanca through a merger. Norges links its voting approach to investment returns, sufficient disclosure, equal treatment of shareholders and avoiding unnecessary conflicts of interest.[1]

Major shareholders disclose separate positions

Delfin, which holds 17.6 per cent of MPS, has said it will tender into Intesa’s offer. The Caltagirone group’s FGC company, with 13.5 per cent, opposes five extraordinary agenda proposals. The Benetton family’s Edizione, holding 1.45 per cent, also plans to tender. Norges’s opposition to the acquisitions does not establish a decision to tender its own stake.[1]

Voting advisers distinguish bids from the merger

Proxy advisers ISS and Glass Lewis recommend rejecting the Banco BPM and Banca Generali offers and a proposed extraordinary distribution of 4 billion euros. They nevertheless support the Mediobanca merger. Their positions differ across individual agenda items, ahead of a meeting whose outcome remains undecided.[1]

References

  1. News sourceQuotidiano NazionaleNorges to oppose MPS bids for Banco BPM and Banca Generali↩1↩2↩3↩4
  2. News sourceL’IdentitàNorges will vote against MPS offers for Banco BPM and Banca Generali↩
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