The Banco Bpm "case" will set the benchmark and the banking group born from the merger between Banco Popolare and Popolare di Milano it could still be the protagonist of the consolidation among the banks that has not exhausted its thrust. However, we will have to wait until 2019 for any new acquisitions. On NPLs, the banking group aims to accelerate sales up to 11-12 billion.
These are the guidelines presented by Giuseppe Castagna, CEO of Banco Bpm, during an interview with Corriere della Sera's “L'economia”, which celebrates the first year of the merger.
“The consolidation will continue. There are still too many universal banks, in Italy they will be reduced to 4-6 groups" observes Castagna "and we, who have also gained experience of relations with regulators, could be part of this new round of mergers, with banks of our size. We will see at the end of the plan, at the end of 2019, if we will also have the strength".
Banco Bpm is the first European bank born from a merger that took place under the supervision of the European Supervisory Authority led by Danièle Nouy. A difficult process, which led to the request by the European body for a capital increase by Banco Popolare for one billion as a preliminary condition for authorizing the operation. In the first 12 months of its inception, the institute has shown that it is able to carry on with determination the industrial plan, which envisaged the reduction of NPLs for a total of 8 billion by 2019, and which could be completed in advance, the reorganization between the various holdings in the asset management and insurance sectors in which several duplications had been found and the transition to a single IT system.
“Compared to the 8 billion Npl sales in the industrial plan – says the manager – which we will reach already in the first half of the second year, I think we can reach at least 11-12 billion, partly with the public guarantee from Gacs and partly with the disposal inside NPLs". "The merger has given us a great advantage in customer perception and in the ability to grant credit with more roundness and services with greater added value", Castagna then notes. Meanwhile, in Piazza Affari the securities show an increase of 1,02% to 3,13 euros.
“We, who have also experienced relations with regulators – added the manager – could be part of this new round of mergers, with banks of our size. We will see at the end of the plan, at the end of 2019, if we will also have the strength. Consolidation serves to make banks more efficient in order to better serve businesses, especially small and medium-sized ones for which we want to be the reference corporate & investment bank, which feel the need to grow, with a merger or with activities to be financed with instruments adequate". “The merger concludes Castagna – it served this purpose, it gave us a great advantage in customer perception and in the ability to grant credit with more roundness and services with greater added value”.
