Green light from the assembly of Monte dei Paschi to the 2,5 billion euro capital increase that the new CEO Luigi Lovaglio wants to "make immediately" and Piazza Affari applauds. In one sitting of MY BAG in which banking stocks were among the most rewarded on the list, that of Mps was among the best with a very eloquent leap of 2,8%.
MPS, BECAUSE THE CAPITAL INCREASE IS NEEDED IMMEDIATELY
Washing however, he does not want to waste time also because the capital increase serves, among other things, to finance the voluntary exit of 3.500 employees under exceptionally favorable conditions, i.e. with a 7-year slide by virtue of a law which expires on 30 November . The shareholder Tesoro, which controls the bank with 64,2% of the shares, is already ready to disburse 1,6% billion of the new recapitalization due to it.
Due to the need to act quickly, the number one of the Sienese bank rejected all requests to slow down the capital increase, both those coming from private shareholders who suggested waiting for better times on the markets and the more insidious ones from politics which with the leader of FdI, Giorgia Melons, asked to wait for the birth of the new government before starting the new recapitalisation. However, the success of yesterday's share on the Stock Exchange also induced the representatives of the Brothers of Italy to tone down their tones.
MPS, THE REAL CHALLENGE IS TO CONVINCE PRIVATE SHAREHOLDERS TO OPEN THE PORTFOLIO
The real challenge facing Lovaglio is to convince the private shareholders, demoralized by the previous capital increases burned in a short time, to open their portfolio again and make another 900 million euros available to MPS between October and November. On the other hand, the commitment of the Treasury is not enough and for the increase to be considered market and not state aid, the ECB and the European Antitrust have clearly stated that 35% of the shareholders, i.e. private individuals, must make the his part by putting the money needed to restructure and relaunch the Sienese bank. And, on the other hand, the exit of 3.500 employees would allow MPS to reduce costs by 270 million a year and thus achieve an operating result "comfortable and at the level of its rivals".
To comfort Lovaglio there is also the interest of the commercial partners Axa and Anima Sgr who, under certain conditions, could support the capital increase.
Lastly, it should be noted that yesterday afternoon's MPS shareholders' meeting eliminated the age limits for the president (70 years) and the CEO (67 years) from the statute, thus making Lovaglio's re-nomination possible in the next spring assembly.
