February 24, 2020 / 5:22 PM / a month ago

Group of UBI investors says Intesa Sanpaolo's offer undervalues stock

FILE PHOTO: UBI Banca Popolare Commercio & Industria logo is seen in Milan, Italy, February 28, 2016. REUTERS/Stefano Rellandini/File Photo

MILANO (Reuters) - A group of UBI Banca (UBI.MI) investors holding 1.6% of the Italian bank’s capital on Monday said a takeover offer by Intesa Sanpaolo (ISP.MI) significantly undervalues the stock.

“The group’s steering committee has given a negative opinion to Intesa Sanpaolo’s proposal,” the shareholders, which call themselves ‘Patto dei Mille’, said in a statement.

“The swap offer significantly underestimates the intrinsic value of UBI’s stock and does not adequately consider its earnings outlook.”

Intesa last week announced an all-paper offer to buy smaller peer UBI Banca as it seeks to create the euro zone’s seventh-largest bank by assets.

The group of wealthy families and business owners from the northern town of Bergamo said the offer does not protect shareholders’ interest.

Reporting by Andrea Mandalà; editing by Francesca Landini

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below