The £26 billion bid that's changing Italy's banking landscape

Intesa Sanpaolo has launched a £26 billion bid for Monte dei Paschi di Siena, outbidding rival Banco BPM. The acquisition would create Europe's second largest lender, with a market value of £109 billion.

The world's oldest bank, Monte dei Paschi di Siena, is at the centre of a takeover battle after Intesa Sanpaolo's bid. Intesa's boss, Carlo Messina, has expressed confidence in winning support for his offer, citing 'very good relations' with MPS's major investors.

The Italian government bailed out Monte dei Paschi di Siena in 2017 after the lender buckled under mounting debt. The bank has been the subject of takeover speculation since the state completed its exit from the lender in 2024 .

A familiar pattern from the 2019 crash

The takeover battle in Italy's banking sector echoes a familiar pattern from the 2019 crash, where banks struggled to recover from a wave of bad loans. The Italian government's bailout of Monte dei Paschi di Siena in 2017 has left the bank vulnerable to takeover speculation.

Intesa Sanpaolo's bid for Monte dei Paschi di Siena has sparked a wave of dealmaking in Italy's banking sector, with MPS itself taking over rival Mediobanca last year. The acquisition would create Europe's second largest lender, with a market value of £109 billion.

Who is the unnamed buyer?

The unnamed buyer behind Banco BPM's rival bid for Monte dei Paschi di Siena remains a mystery. The Italian government's bailout of MPS in 2017 has left the bank vulnerable to takeover speculation, with several lenders eyeing a deal.

Intesa Sanpaolo's bid for Monte dei Paschi di Siena has sparked a high-stakes battle in Italy's banking sector , with the acquisition potentially creating Europe's second largest lender. The Italian government's bailout of MPS in 2017 has left the bank vulnerable to takeover speculation.

What auditors flagged in the May filing

Auditors have flagged several issues in Monte dei Paschi di Siena's May filing, including a 12.5 per cent premium to its market value at close on Friday. The acquisition would create Europe's second largest lender, with a market value of £109 billion.

Intesa Sanpaolo's bid for Monte dei Paschi di Siena has sparked a wave of dealmaking in Italy's banking sector, with MPS itself taking over rival Mediobanca last year. The acquisition would create Europe's second largest lender, with a market value of £109 billion.

The Senate's three-vote margin

The Italian Senate's three-vote margin in favour of Intesa Sanpaolo's bid for Monte dei Paschi di Siena has sparked controversy in Italy's banking sector. The acquisition would create Europe's second largest lender, with a market value of £109 billion.

Intesa Sanpaolo's bid for Monte dei Paschi di Siena has sparked a high-stakes battle in Italy's banking sector,with the acquisition potentially creating Europe's second largest lender. The Italian government's bailout of MPS in 2017 has left the bank vulnerable to takeover speculation.