Ps, "with the full support of the controlling shareholder", the Treasury, "is working on the revision of the capital plan for the capital strengthening being evaluated, in the light of the provisions for legal risks recorded in the quarter, of the impacts of the deal with Amco and of the future implications of the regulatory and macroeconomic context". The writes it Monte dei Paschi di Siena in the note on third quarter results.
The period July September closed for the Sienese Bank with a red of 451 million euros. Non-operating expenses weighed down for 569 million, mainly relating to provisions for legal risks and restructuring costs for personnel leaving.
in this first nine months of 2020, however, Montepaschi registers one loss of 1,539 billion, compared to a profit of 187 million achieved in the same period of 2019.
What is prepared is the second public capital increase in the history of Mps and – according to press rumors circulated in the last few days – it should amount to about two billion euros.
The institute needs to replenish the provision for legal risks after the unexpected sentence in the first instance to six years each for the former president Alessandro Profumo and the former CEO Fabrizio Viola in the trial on the accounting of Sienese derivatives as government bonds. Claims for damages on this front could reach 2,2 billion. The estimates of the Bank's consultants, which arrived on the table of the Board of Directors on 29 October, would have proposed higher postings for 416 million euros.
To this number must be added i about 700 million lost with the sale of Npl for 8,1 billion to Amco, to be completed by December, plus operating losses. Without a raise, there is a risk that Mps will start 2021 with assets lower than the "Srep" indication given by the ECB for 2020, equal to 11%.
Meanwhile, the search for a buyer continues, which the Treasury is committed to finding by Europe by April 2022. However, Unicredit's number one, Jean Pierre Mustier, reiterated that he does not intend to accept any proposal in this sense: "Our plan to 2023 is based on the assumption No M&A - said the French CEO illustrating the quarterly accounts - Transforming the bank is our first priority, not integrating it".
