A day of passion for Banca Carige in Piazza Affari. In the middle of the day, the stock fails to make the price, and remains suspended with a theoretical fall of 67%.
Put back into trading this morning after a 24-hour stop arrived at the request of the same institution, Carige's ordinary and savings shares were immediately submerged by a shower of sales.
At the basis of the sell off not only the capital strengthening plan approved yesterday evening, November 12, by the board of directors, but also the accounts for the nine months of 2018, filed with $188,9 million in impairment losses of $219,2 million. "The result, reads a note from the bank, was conditioned by the cost of risk, which discounts the implementation, in the third quarter, of the check carried out on the loan portfolio and the transfer, as well as the settlement and write-off of non-performing positions, which determined the recognition of 256,5 million between losses and value adjustments on loans, effectively precluding the possibility of reaching the net profit target set by the 2017-2020 Plan for the current year".
As regards the bailout plan, according to what has been announced, the "strengthening" will come in two phases: the first envisages saving the bank's operations through the issue of a 2 million Tier400 bond euros, the second which will arrive between the end of March and the beginning of April establishes the start of a capital increase of 400 million.
As for the bond, to sign it for 320 million euros will be the Interbank Fund of deposit protection created by the other banks. The official resolution by the assembly should arrive on November 30th, but yesterday the operation received the ok from the management board.
The purpose of the loan is to avoid a possible bankruptcy of Carige which would cost all Italian banks 8 billion, the amount of protected deposits of the Genoese institution. “If the Interbank Fund wants to make an intervention, Intesa Sanpaolo will certainly be ready to support it for its part”. These are the words of the CEO of Intesa, Charles Messina, pronounced yesterday on the sidelines of the States General of credit organized by Assolombarda, which however underlines "Nothing more - he specified - We will not fail to support the Fund if everyone does"
Speaking with journalists in the press conference following the approval of the accounts, the ad Fabio Innocenzi he explained that "on any unopted share capital increase" there will be the conversion of the bonds subscribed by the voluntary scheme of the Interbank Deposit Protection Fund "into shares".
The managing director then specified that, despite the funds made available, the Interbank Fund will not become Carige's majority shareholder – also because it is not permitted by law. “The Fund has a maximum of 49.9% shareholding within a bank so they cannot be the absolute majority subject within a bank. The Fidt has put itself at the service in the sense that it is the shareholders who have the option right (for the increase, ed) so they will decide whether to exercise their rights or not. The Fund is passive so there is the possibility that the Fund will become our shareholder only if there is a partial disengagement of one of our shareholders and there is no takeover by other subjects”.
Speaking about the shareholders, Innocenzi stated: "We hope that the three major shareholders and also others will subscribe to the increase as of today". Hope that however may not come true since the Malacalza family to date it does not seem to have any intention of subscribing to the bond. "Faced with the looming deadlines that we put the investor in front of - explained the president of Carige, Pietro Modiano - Malacalza Investimenti said 'please, no', 'now, no'".
The decision is different Raphael Mincione which - through Pop 12 - announces that it has communicated to Banca Carige "its irrevocable commitment for the amount of 20 million" in the capital strengthening operation. "Taking into account the considerable financial effort - reads the note - Pop 12 has conditioned its commitment to identifying and defining an adequate remuneration to be agreed between the parties in good faith".
(Last update: 14.25 am on 13 November).
