MILAN, April 16 Banca Popolare di Milano
said on Wednesday the recent rejection by shareholders
of corporate governance reforms would not delay its plans for a
capital increase of 500 million euros ($690.32 million).
On Saturday the bank's shareholders unexpectedly voted down
reforms designed to attract new investors three weeks before the
Italian cooperative bank launches a cash call.
In a statement the bank said the improved liquidity position
at the bank would allow it to proceed with a further pay-back of
crisis loans to the European Central Bank to the tune of 750
million euros by the end of April. It said the aim was to repay
all the crisis loans by the end of 2014.
The ECB lent banks more than one trillion euros in
three-year loans (LTRO) during the euro zone's debt crisis, in
December 2011 and February 2012, to help lenders ride out
($1 = 0.7243 Euros)
(Reporting by Stephen Jewkes, editing by Naomi O'Leary)