Italy’s Treasury will postpone the sale of its 4.8% stake in Monte dei Paschi di Siena (MPS) until the ongoing battle for control of the Tuscan lender concludes, Economy Minister Giancarlo Giorgetti said on Tuesday.
The decision follows MPS’s announcement last week of two concurrent bids totaling €34 billion for Banco BPM and Banca Generali. The moves are widely viewed as defensive tactics against Intesa Sanpaolo’s hostile takeover attempt, launched in June, which would dismantle MPS.
Giorgetti made the announcement during a meeting in Rome with regional politicians from Siena and Tuscany, who sought clarity on the bank’s future. The Treasury’s stake sale had been planned as part of broader efforts to reduce state exposure in the financial sector, but the current takeover dispute has necessitated a delay.
MPS, Italy’s third-largest bank, is leveraging the bids for Banco BPM and Banca Generali to bolster its independence and counter Intesa Sanpaolo’s offer, which would absorb MPS into a larger structure. The outcome of the takeover battle remains uncertain, with regulators and stakeholders yet to finalize their positions.
