Published by Global Banking & Finance Review®
Posted on April 3, 2025
2 min readLast updated: January 24, 2026
Add as preferred source on GoogleUniCredit is nearing approval for its takeover of Banco BPM, with Italy likely to impose conditions. The 14 billion euro bid is part of a strategic expansion.
By Giuseppe Fonte and Valentina Za
ROME (Reuters) - Italian bank UniCredit is on course to secure a conditional green light from the government in Rome over its plan to take over smaller rival Banco BPM, three sources familiar with the matter told Reuters.
So-called golden powers allow Italy's government to block or set conditions on foreign and domestic corporate takeovers in strategic sectors such as energy, telecommunications and banking.
Asking not to be named due to the sensitivity of the matter, the sources said the government was leaning towards approving the bid with some, unspecified prescriptions.
UniCredit declined to comment.
Italy plans to conclude its review by the end of the month, two of the sources added.
The bank, led by Andrea Orcel, said on Wednesday it would launch on April 28 its 14 billion euro all-share bid for BPM after receiving approval from market watchdog Consob.
In the offer's document, UniCredit reserved the right to wait until June 30 to decide whether to waive conditions that would allow it to drop the offer.
The sources did not provide details on the possible government conditions for the deal, but one of them said they were not expected to pose a major problem.
The Italian government can ask for guarantees related to bank branches to ensure services to customers and indirectly preserve jobs, sources had previously told Reuters.
Economy Minister Giancarlo Giorgetti said last month the government would use its right to intervene in a reasonable manner, suggesting a light-touch approach to the matter.
UniCredit in late November swooped on Banco BPM, which had long been a natural takeover target for the bigger peer given its roots in Italy's wealthy Lombardy region, where UniCredit is considered to have a market share that is too small.
The move derailed government efforts to combine BPM with state-backed Monte dei Paschi di Siena to create a competitor to industry leaders UniCredit and Intesa Sanpaolo.
MPS, however, has since launched an offer for merchant bank Mediobanca.
Despite its displeasure at Orcel's moves, Rome had little room to intervene over Banco BPM based on golden power legislation, Reuters reported in December.
European Union bank regulators back mergers and EU treaties promote the free movement of capital across member countries.
(Editing by Paul Simao)
The article discusses UniCredit's bid to acquire Banco BPM and the Italian government's likely approval with conditions.
Golden powers allow Italy to block or set conditions on takeovers in strategic sectors like banking.
UniCredit is led by Andrea Orcel.
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