March 4, 2014 / 4:55 PM / 3 years ago

Credito Valtellinese approves cash call of up to 400 mln euros

MILAN, March 4 (Reuters) - Credito Valtellinese became the latest Italian lender to announce a rights issue to boost its capital, saying it planned to tap investors for up to 400 million euros ($550 million).

The mid-tier lender, one of 15 Italian banks being scrutinised by the European Central Bank, said the cash call would be guaranteed by Banca IMI, Credit Suisse and Mediobanca.

The bank aims to complete the capital increase in the first half of this year.

In a statement, it said that its pro-forma common equity tier 1 ratio - a key measure of financial strength - including the capital increase stood at 10.9 pct, well above an 8 percent minimum set by the ECB.

Six other Italian lenders had already announced plans to raise capital on the market for a total of more than 7 billion euros. ($1 = 0.7277 euros) (Reporting by Silvia Aloisi)

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