Unipol to buy Ubi Banca's bancassurance joint ventures for 300 million euros: CEO

MILAN (Reuters) - Italian financial group Unipol UNPI.MI will buy a number of bancassurance joint ventures for around 300 million euros ($323.73 million) as part of the Intesa's ISP.MI proposed bid for Ubi Banca UBI.MI, CEO Carlo Cimbri said on Thursday.

Under Intesa's proposed 4.9 billion euro Ubi bid, one of the largest bank takeover offers in Europe in more than a decade, Unipol's insurance business UnipolSai US.MI could buy some of Ubi's bancassurance joint ventures.

“It’s going to be a marginal investment for us, roughly 300 million euros, far less than the figures that have been reported”, Cimbri told daily Corriere della Sera.

Separately on Thursday Intesa launched a two-tranche Additional Tier 1 bond to raise a combined 1.25 billion euros ($1.35 billion), according to two lead managers, in what would be one of the largest “CoCo” bond sales in Europe.

Intesa has set initial pricing of 4.25% on one tranche, which is redeemable after five years, and 4.625% on the other, which is redeemable after 10 years, the lead managers said.

The bonds are expected to priced later on Thursday. Banca IMI, Barclays BARC.L, BNP Paribas BNPP.PA, Bank of America Merrill Lynch BAC.N, Citi C.N, HSBC HSBA.L and Morgan Stanley MS.N are joint bookrunners.

UBI Banca said on Wednesday it would name advisers to help it evaluate Intesa Sanpaolo’s takeover offer along with possible alternatives and said nothing could be taken for granted.

Reporting by Maria Pia Quaglia and Abhinav Ramnarayan, editing by Jane Merriman