The 5 billion euro capital increase of Monte dei Paschi, the largest of 2014, starts today. The rights will be negotiable from today until 20 June and their exercise can take place until 27 June. Five days after the option period the results will be communicated. Overall, the bank will issue 4.999.698.478 ordinary shares at a price of one euro each in the ratio of 214 for every 5 held.
With this recapitalization, the president Alessandro Profumo and the CEO Fabrizio Viola close with the heavy legacy of the past and can finally concentrate on the objectives of the new business plan which promises to definitively relaunch the bank, now emancipated from the Foundation and open to new international shareholders, but not forgetful of its roots in the territory, as Profumo himself declared in a recent one interview published by FIRSTonline.
After the increase, the bank's Tier 1 ratio will rise from 10,8% at the end of March to 13,3%. The increase will take place with a discount of approximately 35,5% per share and the shareholders of the agreement (Mps Foundation, Fintech Advisory and Btg Pactual) will put 450 million on the table out of the total of 5 billion. The historical partners of Axa and Mutuelles Axa will also subscribe to the increase, while the choice of the Aleotti family like that of JP Morgan is uncertain. Anyone who does not participate in the increase will suffer a strong dilution which will be supervised by Consob
