Italy Readying Review of UniCredit’s BPM Bid Under Golden Power

Rome: So, Italy is getting ready to take a closer look at UniCredit’s offer for Banco BPM. Apparently, this is all part of their “Golden Power” rules, which means they can set some conditions if they decide to approve the deal.

From what I hear, Prime Minister Giorgia Meloni’s government is kicking off this special review process. They want to make sure that Banco BPM’s branches and jobs are protected. It’s a big deal, especially since the offer was unsolicited.

Interestingly, Banco BPM had already asked Italy’s market regulator to step in and protect its interests from UniCredit’s approach. The CEO, Giuseppe Castagna, wasn’t impressed with UniCredit’s bid, saying it was too low.

Now, this whole situation is a bit tricky for Meloni. She’s been trying to create a third major banking group in Italy, and UniCredit’s surprise offer is throwing a wrench in those plans. Just weeks before, Banco BPM had bought a stake in another bank, which was seen as a step toward that goal.

Italy has used its “Golden Power” before, like when they limited access for a Chinese investor in Pirelli. It seems like they’re serious about keeping control over strategic assets.

There’s some disagreement among Meloni’s cabinet about how to handle this bid. Some think UniCredit is just a foreign bank trying to swoop in, while others believe they should let the deal go through without interference. It’s a bit of a mixed bag, really.

And on top of all this, Italy is also keeping an eye on what’s happening in France’s financial sector. It’s a busy time for the government!