Intesa Sanpaolo Launches €30.6 Billion Hostile Bid for MPS

The proposed acquisition is designed to expand Intesa’s client base to over 27 million, pushing customer financial assets to €1.7 trillion—a milestone previously projected for 2029. To facilitate the deal, Intesa plans to issue up to 4.86 billion new shares, offering current MPS shareholders a 21.7% stake in the enlarged group alongside a cash component. The proposal includes a 12.5% premium over the last closing price, contingent on a minimum acceptance threshold of 66.67% of MPS capital.

Financial projections suggest the integration could yield €2.9 billion in annual pre-tax benefits, split between cost reductions and revenue synergies. However, the transaction carries one-off costs estimated at €2.1 billion. As part of the restructuring, a carve-out of 635 branches and the MPS brand would be sold to Unipol for up to €3.5 billion, creating a secondary entity with 2,600 branches. This aggressive bid directly challenges Banco BPM’s recent proposal for a "merger of equals," which promised significantly lower synergy estimates of €1.1 billion. Regulatory and shareholder approvals are expected to span the remainder of the year, with the final tender process concluding by December.