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Expect bank mergers in Europe - Intesa CEO

Monday, September 09, 2013 - 04:29

Sept. 9 - Intesa Sanpaolo CEO, Enrico Cucchiani says high fragmentation and low profitability mean the prerequisites are there for a new phase in banking sector mergers, both in Italy and across Europe.

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Just android isn't welcome to try not -- I'm here at the numbers that too far with me -- and we -- -- CEO of inches are somehow enough. Mystic tanning -- is expected to finally come out of a recession by the end of this year. I you're already seeing signs of a pickup in lending to bank. Well there are -- in this as signs of improvement in the economy. I wouldn't say that these has translated yet. In two. Increased demand for credit him for lending. But let's say at least a welcomed is that -- signs. I think it's too early to claim victory. We have to wait for a consolidation of the trend that trend is more robust in the rest of Europe. Socially we see positive signs and positive developments in the US. But to the world is still a even a name is the state of relative uncertainty fragility. -- we have for these situation in the Middle East that is developing. The growth markets in the emerging markets -- slowing down. So I think. It's good to see that something is improving but nonetheless in this situation. Still Lawrence. -- should. And miss it to carry out. And they're not step and -- school in your earnings to use and then the bank is open potentially to new investors. And Julio had we do you have in mind I mean Nike and he being a -- you're talking to people do you wanna be thought of the consolidation in the banking center. Well actually I was not making a pitch oracle I was not promoting the -- also because. The audience is it quite sophisticated. And never came with a day to day they can that resume there -- only. -- -- -- -- investing -- -- aren't investing in any sort of security. I was simply making the point to the the bank. Is an extremely Saudi bench very Saudi Bennett chief common equity is sick in the eleven percent it is one over the three highest in Europe. And I would say that. Good to banks that that I have a higher common equity I'm not exactly. In -- Europe. We we are highly provision very liquid and very efficient as such I think that is a bank that is extremely -- -- position. As far as the consolidation in Europe. -- I was simply. Reasoning on that logical basis. The industry's highly fragmented. Profitability. In the banking sector is very low. So there are all the prerequisites for cause litigation. And I believe that sooner or later they would have put it will happen the domestic level for small and medium sized banks. And at -- the European level for large impacts so if it happens you better be prepare. And another question I mean you aren't any investor indirectly in -- coming -- -- are you willing to exceed -- the -- channeled their pact. In knack telkom that controls segment on him now and will you sell your steak. I think at that any comment is premature. There is a commitment from the chairman to present the plan. And options. By I believe September 19 and so every every comment. Is to sort of -- of that date. But I mean yes and you did speak however. And about chino high potential -- in new investor programming have you -- -- some -- in mind in particular role. And could you consider strengthening of the position us tennis phony account in tennis coming Tonya. We are open to all options provided that they. At that you. India -- -- that makes strategic sense for the company. And at their good ventures from that the point of your shareholders. If -- impress him. And it's. You aren't investor also in the -- -- RK -- studies and undergoing -- problems right now. Would you consider taking part in a cup of -- trees chase the bank plan to need to -- As -- said to during the conference core. We are not too interested in participating. Or increasing our I would exposure in the Italian banking sector.

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Expect bank mergers in Europe - Intesa CEO

Monday, September 09, 2013 - 04:29