Published by Global Banking & Finance Review®
Posted on January 31, 2025
1 min readLast updated: January 26, 2026
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Fitch warns of risks in MPS's bid for Mediobanca, citing potential client and staff losses. MPS aims to maintain brand independence to mitigate risks.
MILAN (Reuters) - Monte dei Paschi di Siena's acquisition of bigger rival Mediobanca would be challenging to implement if the Tuscan bank's bid succeeded, Fitch Ratings said on Friday.
While any assessment is premature, Fitch said MPS' ratings would likely be unaffected in the short term under the proposed terms of the transaction.
However, the credit rating agency flagged risks Mediobanca could lose clients or staff given that MPS is perceived "as a weaker and less specialised peer" in corporate investment banking and wealth management.
"MPS' plan to operate both brands with a high degree of independence could mitigate these risks, but this faces execution risks," it said.
(Reporting by Valentina Za, editing by Gianluca Semeraro)
Fitch Ratings stated that Monte dei Paschi di Siena's acquisition of Mediobanca would be challenging to implement if the bid succeeded, highlighting potential risks.
Fitch mentioned that any assessment is premature, but MPS's ratings would likely remain unaffected in the short term under the proposed terms of the transaction.
Fitch flagged risks that Mediobanca could lose clients or staff due to MPS being perceived as a weaker and less specialized peer in corporate investment banking.
MPS plans to operate both brands with a high degree of independence, which could help mitigate the risks, although this approach faces execution challenges.
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