June 19, 2017 / 4:00 AM / 5 months ago

Italy - Factors to watch on June 19

The following factors could affect Italian markets on Monday.

Reuters has not verified the newspaper reports, and cannot vouch for their accuracy. New items are marked with (*).

For a complete list of diary events in Italy please click on .

COMPANIES

VENETO BANKS

Italy has ruled out the idea of winding down two struggling lenders in the northern Veneto area, a source said on Sunday, following a report Brussels was set to tell Rome it could not use direct state support to rescue them. The report in Sunday’s La Stampa said the lenders’ assets would be hived off into a good bank and the sour loans placed in a bad bank

The bad bank to be used could be the one set up for Banco di Napoli or SGA, la Repubblica reported on Sunday.

Italy on Friday approved an emergency decree that will stop Veneto Banca from having to repay 86 million euros of subordinated bonds due to mature next week. The EU approved the move.

A source familiar with the matter on Saturday confirmed press reports that Rothschild would be hired by Italy’s government as an adviser over the two Veneto banks.

Corriere on Sunday said some of the lenders’ assets could be sold to reduce the amount of fresh private capital needed to press ahead with a precautionary recapitalisation.

Potential investors have been given access to the two banks’ books for a quick due diligence, La Stampa and La Repubblica reported. According to the latter Intesa may still put in alone the full 1.2 billion euros of private capital needed as UniCredit was having second thoughts about the plan. MilanoFinanza said the bidding consortium was likely to comprise 3 or 4 big banks led by Intesa and UniCredit.

La Repubblica reported the government was considering significantly boosting the endowment of a fund to support layoffs in order to help the two banks cut staff.

MONTE DEI PASCHI DI SIENA

Two U.S. private equity funds have quit talks to buy a mountain of bad loans from ailing Italian lender Monte dei Paschi di Siena, sources said on Friday, dealing a blow to plans to secure a state bailout for the bank.

TELECOM ITALIA, ENEL

Telecom Italia will go ahead with plans to roll out an ultrafast broadband network in rural or sparely populated areas of Italy despite objections from the government, the phone group’s chief executive told a newspaper on Sunday.

Claudio De Vincenti, a cabinet minister and the head of an ultra broadband committee, told Corriere della Sera on Saturday that the government would claim damages from Telecom Italia if the company did not drop a plan to build an ultra broadband infrastructure in areas where it’s not profitable after telling the government that it was not going to invest in those areas and forcing the State to step in.

Undersecretary Antonello Giacomelli told la Repubblica on Saturday that he was convinced Telecom Italia would not press ahead with the plan and that, if it did, the government would have to assess damages caused to public interests and act accordingly.

(*) ENEL, OPEN FIBER

Open Fiber is in talks with around 15 banks for 4.5 billion euros in project financing and expects to finalise an agreement within two to three months, the company’s Chief Executive Tommaso Pompei told Corriere della Sera’s L‘Economia insert in an interview. He dismissed suggestions that Open Fiber’s project may not be bankable, saying “banks are queuing up ... there is liquidity around, there is appetite for infrastructure”.

FIAT CHRYSLER

FCA does not expect its diesel problems in the United States to have an impact on its short-term business targets to 2018, Chief Executive Sergio Marchionne said on Friday.

U.S. regulators told Fiat Chrysler Automobiles in November 2015 that they suspected some of the automaker’s vehicles were equipped with secret software allowing them to violate emission control standards, according to emails disclosed on Friday. (*) Fiat Chrysler denied it had decided to pull the plug on the Chrysler brand in Japan, after local media reported it was planning to stop selling the U.S. cars in the country as early as next year following years of poor sales.

BANCA CARIGE

The Italian bank said on Friday it had transferred gross bad loans worth 938 million euros to a vehicle that would sell them on to investors repackaged as securities.

The bank is likely to name former UniCredit top executive Paolo Fiorentino as its next CEO, Il Messaggero reported on Saturday. (*) The bank will appoint a new chief executive “within days” and definitely before the end of the month, Carige’s Chairman Giuseppe Tesauro was quoted on Monday as saying by la Repubblica Affari & Finanza.

MEDIASET

The broadcaster would be able to buy up to 10 percent of its own capital without triggering a mandatory bid by top shareholder Fininvest if shareholders representing at least 10 percent of Mediaset’s floating share capital attend a June 28 general meeting and at least half of them vote in favour of the treasury share buyback, Il Sole 24 Ore reported on Saturday.

Vivendi will present on Monday to Italy’s telecommunications authority its plan to fix its dominant position in the country’s telecoms sector, Il Sole said.

(*) SALVATORE FERRAGAMO

The Ferragamo family will unveil by autumn an agreement that sets rules such as the maximum number of family members that can work in the company.

(*) CREDITO EMILIANO

General Manager Nazzareno Gregori told la Repubblica Affari & Finanza on Monday that Credem would be ready to consider an acquisition but added there were very few interesting assets on the market.

ATLANTIA

La Stampa on Saturday quoted a Spanish government source as saying the Atlantia-Abertis deal should be different from Enel’s takeover of Endesa which handed control of a strategic group to an Italian company that did not invest further in Spain. The paper said Atlantia would be ready to keep the group’s headquarters in Barcelona.

INTESA SANPAOLO

The bank’s board will meet over the new business plan on Tuesday and the plan will “almost certainly” be approved in January, Il Messaggero reported on Saturday.

CATTOLICA ASSICURAZIONI

The Italian insurer said on Friday police searched the company and made a seizure in relation to a judicial case involving at least one executive and one contractor.

UNICREDIT

Mediobanca’s MB Credit Solution said on Friday it bought 450 million euros in bad loans from Italy’s top bank UniCredit.

For Italian market data and news, click on codes in brackets:

20 biggest gainers (in percentage)............

20 biggest losers (in percentage).............

FTSE IT allshare index

FTSE Mib index........

FTSE Allstars index...

FTSE Mid Cap index....

Block trades..........

Stories on Italy...... IT-LEN

For pan-European market data and news, click on codes in brackets: European Equities speed guide................... FTSEurofirst 300 index.............................. DJ STOXX index...................................... Top 10 STOXX sectors........................... Top 10 EUROSTOXX sectors...................... Top 10 Eurofirst 300 sectors................... Top 25 European pct gainers....................... Top 25 European pct losers........................ Main stock markets: Dow Jones............... Wall Street report ..... Nikkei 225............. Tokyo report............ FTSE 100............... London report........... Xetra DAX............. Frankfurt market stories CAC-40................. Paris market stories... World Indices..................................... Reuters survey of world bourse outlook......... Western European IPO diary.......................... European Asset Allocation........................ Reuters News at a Glance: Equities............... Main currency report:...............................

Our Standards:The Thomson Reuters Trust Principles.
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