November 29, 2016 / 6:41 PM / a year ago

Monte dei Paschi CFO sees deal with anchor investor by the weekend

MILAN, Nov 29 (Reuters) - Monte dei Paschi is racing against time to secure a commitment with an anchor investor by the weekend before tapping the market for much-needed funds, CFO Francesco Mele told an investors’ conference call on Tuesday.

Shares in the troubled bank have been recently hammered by worries over its ability to execute a vital 5 billion euros ($5.32 billion) capital raising with some fund managers saying sentiment could brighten if the bank finds an anchor investor.

“If we get to Monday with a good anchor commitment we should be able to complete successfully the transaction,” Mele told investors.

He added that the approval received by the European Central Bank is subject to the lender launching its share sale by the end of the year.

Investors fear that a failure of the capital raising could heighten worries over the whole Italian banking system, adding to pessimism over political stability ahead of Sunday’s referendum on constitutional reform. ($1 = 0.9396 euros) (Reporting by Stephen Jewkes; editing by Francesca Landini)

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