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Carige, all about Bper’s fool with Fitd

2 years ago babelfish

Carige, all about Bper's fool with Fitd

The Interbank Deposit Protection Fund (Fitd) did not accept Bper's purchase proposal for Carige. The no is linked to statutory constraints. And the Bper lawyers didn't know? Facts, numbers and insights

The Interbank Deposit Protection Fund did not accept Bper's purchase proposal for Carige.

The no is linked to statutory constraints and is not an evaluation of merit.

Bper's expression of interest in Carige "presents terms and conditions to be explored which, at present, in particular as regards the level of recapitalization required for Carige, does not comply with the statutory provisions (Article 35) relating to interventions of the type in question".

This can be read in a note from the Fitd regarding the purchase proposal received by Bper for 80% of Carige in which the Fund is requested to recapitalize the Genoese bank from 1 billion.

However, the official press release still leaves a window open: "The expression of interest – it reads – presents terms and conditions to be explored which, at present, in particular, as regards the level of recapitalization required for Carige, does not comply with the statutory provisions (Article 35) relating to interventions of the type in question '.

The proposal made by Bper, which provides for a recapitalization of one billion to be paid by Fitd (against the purchase of 88% in the hands of Fitd and Ccb for one euro and a takeover bid for 0.8 euro on 12% of the capital residual), "does not comply" with the statutes of the Interbank Fund.

the consortium vehicle of the Italian banks (i.e. the Interbank Deposit Protection Fund), in accordance with the statute, is in fact able to provide preventive interventions for a maximum amount equal to 50% of the contributions paid by the system in the previous year, figure possibly increased by another 20% in exceptional cases. Basically, the maximum outlay of the Fitd can reach approximately 700 million.

In the hopes of Bper, to reach the requested billion, a quota of another 300 million would have had to be added to be injected by the voluntary scheme, but the almost Bulgarian quorum provided for by the statute (95% of the members), the opposition of many member banks – above all between small and medium-sized ones – and the very short times to convene the associates made this hypothesis infeasible. Hence, therefore, the rejection of the Fund to the proposal of the bank led by the CEO, Piero Montani.

Is the figure therefore revisable? Il Sole 24 Ore wrote: “The capacity of the billion is not very far from the actual needs of the bank, according to Bper's calculations. Also because, the same sources always point out, the institute cannot fail to deal with structural costs that in perspective will hardly be sustainable in a stand-alone dimension. To better understand this step, it is pointed out that at present Carige has about 3,300 employees but to bring the intermediation margin per employee to efficient levels, once again similar to those of Bper, it is necessary to think about the need to put more than 1,300 outside the perimeter. people. Many, but if inserted in a context of aggregation for Carige and its employees, a very different reasoning would open up. Each assessment would in fact be carried out on the complete staff of the new entity which would, however, have very different indicators. There would therefore be no direct burden on the Ligurian bank ".

The tweet of Carlotta Scozzari, financial journalist of the Gedi group, is significant:

Intesa, Unicredit, Bpm. Who snorts and who doesn't snort for Bper's move on Carige

This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/economia/carige-ecco-la-figuraccia-di-bper/ on Fri, 17 Dec 2021 07:19:12 +0000.