Caution Is Warranted Amid Surging Italian Banking M&A -- Market Talk

Dow Jones

Feb 18, 2025

0957 GMT - Increased risk-taking on the back of the surge in deals among Italian mid-sized players after UniCredit's bid for Banco BPM poses challenges and caution is warranted, Scope Ratings says in a note. "While consolidation can improve efficiency and scale, competitive deal-chasing raises risks of overpaying or entering sub-optimal mergers as competitive positioning, market share considerations and fear of missing out become the main consolidation drivers," analyst Alessandro Boratti writes. Bank mergers and the diversification of banking products as well as interactions with customers becoming digital are inevitable, he adds. Replicating 2024's record results in 2025 will be more challenging amid cost pressures, falling margins and weak loan growth but resilient performance this year is expected, he says. (elena.vardon@wsj.com)

(END) Dow Jones Newswires

February 18, 2025 04:57 ET (09:57 GMT)

At the request of the copyright holder, you need to log in to view this content

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

{"basename":"","ssrTDKData":{"titleTemplate":"%s - Tiger Brokers","title":"Easy breezy. No more feesies.","description":"Tiger Trade is a mobile trading app offering real time data, low commission fees and a free demo account. Download now to start investing in ETFs, options and the global share market.","keywords":"Tiger Brokers,U.S. stock trading,Hong Kong stock trading,trading U.S. stocks,stock information,stock prices,U.S. stock quotes,U.S. stock trading,Hong Kong stock trading,IPO trading,buying U.S. stocks,global investment","social":{"ogDescription":"Tiger Trade is a mobile trading app offering real time data, low commission fees and a free demo account. Download now to start investing in ETFs, options and the global share market.","ogImage":"https://c1.itigergrowtha.com/portal5/static/media/og-logo.be62fbe1.png","ogUrl":"https://www.itiger.com/news/2512375821"},"companyName":"Tiger Brokers"},"pageData":{"isMobile":false,"isTiger":false,"isTTM":true,"region":"NZL","license":"TBKIWI","edition":"fundamental"},"isCrawlerRequest":true,"__swrFallback__":{"@#url:\"https://stock-news.skytigris.cn/v3/news\",params:#id:\"2512375821\",edition:\"fundamental\",auth_exemption:1,,,undefined,":{"share":"https://ttm.financial/m/news/2512375821?lang=en_US&edition=fundamental","thumbnail":"","is_english":true,"pubTime":"2025-02-18 17:57","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2512375821","market":"fut","top_or_hot":-1,"title":"Caution Is Warranted Amid Surging Italian Banking M&A -- Market Talk","media":"Dow Jones","content":"<font class=\"NormalMinus1\" face=\"Arial\">\n<p>\n     0957 GMT - Increased risk-taking on the back of the surge in deals among Italian mid-sized players after UniCredit's bid for Banco BPM poses challenges and caution is warranted, Scope Ratings says in a note. \"While consolidation can improve efficiency and scale, competitive deal-chasing raises risks of overpaying or entering sub-optimal mergers as competitive positioning, market share considerations and fear of missing out become the main consolidation drivers,\" analyst Alessandro Boratti writes. Bank mergers and the diversification of banking products as well as interactions with customers becoming digital are inevitable, he adds. Replicating 2024's record results in 2025 will be more challenging amid cost pressures, falling margins and weak loan growth but resilient performance this year is expected, he says. (elena.vardon@wsj.com) \n</p>\n<pre>\n \n</pre>\n<p>\n  (END) Dow Jones Newswires\n</p>\n<p>\n  February 18, 2025 04:57 ET (09:57 GMT)\n</p>\n<p>\n  Copyright (c) 2025 Dow Jones &amp; Company, Inc.\n</p>\n</font>","source":null,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Caution Is Warranted Amid Surging Italian Banking M&A -- Market Talk</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nCaution Is Warranted Amid Surging Italian Banking M&A -- Market Talk\n</h2>\n\n<h4 class=\"meta\">\n\n\n<div class=\"head\" \">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Dow Jones </p>\n<p class=\"h-time\">2025-02-18 17:57</p>\n</div>\n\n</div>\n\n\n</h4>\n\n</header>\n<article>\n<font class=\"NormalMinus1\" face=\"Arial\">\n<p>\n     0957 GMT - Increased risk-taking on the back of the surge in deals among Italian mid-sized players after UniCredit's bid for Banco BPM poses challenges and caution is warranted, Scope Ratings says in a note. \"While consolidation can improve efficiency and scale, competitive deal-chasing raises risks of overpaying or entering sub-optimal mergers as competitive positioning, market share considerations and fear of missing out become the main consolidation drivers,\" analyst Alessandro Boratti writes. Bank mergers and the diversification of banking products as well as interactions with customers becoming digital are inevitable, he adds. Replicating 2024's record results in 2025 will be more challenging amid cost pressures, falling margins and weak loan growth but resilient performance this year is expected, he says. (elena.vardon@wsj.com) \n</p>\n<pre>\n \n</pre>\n<p>\n  (END) Dow Jones Newswires\n</p>\n<p>\n  February 18, 2025 04:57 ET (09:57 GMT)\n</p>\n<p>\n  Copyright (c) 2025 Dow Jones &amp; Company, Inc.\n</p>\n</font>\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"UNCFF","symbol_name":"UniCredito Spa","start_time":0,"source_url":"https://dowjonesnews.com/newdjn/logon.aspx?AL=N","article_id":"2512375821","we_media_id":"106","thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2512375821","pubTimestamp":1739872620,"columns":[],"sourceInfo":null,"weMediaInfo":{"media_name":"Dow Jones","introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":0,"id":"106","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"summary":"0957 GMT - Increased risk-taking on the back of the surge in deals among Italian mid-sized players after UniCredit's bid for Banco BPM poses challenges and caution is warranted, Scope Ratings says in a note. \"While consolidation can improve efficiency and scale, competitive deal-chasing raises risks of overpaying or entering sub-optimal mergers as competitive positioning, market share considerations and fear of missing out become the main consolidation drivers,\" analyst Alessandro Boratti writes. Bank mergers and the diversification of banking products as well as interactions with customers becoming digital are inevitable, he adds. Replicating 2024's record results in 2025 will be more challenging amid cost pressures, falling margins and weak loan growth but resilient performance this year is expected, he says. ","collect":0,"end_time":0,"defaultTopTitle":"","property":[],"viewcount":null,"language":"en","relate_stocks":{"UNCFF":"UniCredito Spa","BK4207":"综合性银行","CRARY":"Credit Agricole SA","MDIBY":"MedioBanca SpA"},"translate_title":"意大利银行业并购激增，需要保持谨慎——市场讨论","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"CRARY":0.9,"UNCFF":0.9,"MDIBY":0.9},"content_text":"0957 GMT - Increased risk-taking on the back of the surge in deals among Italian mid-sized players after UniCredit's bid for Banco BPM poses challenges and caution is warranted, Scope Ratings says in a note. \"While consolidation can improve efficiency and scale, competitive deal-chasing raises risks of overpaying or entering sub-optimal mergers as competitive positioning, market share considerations and fear of missing out become the main consolidation drivers,\" analyst Alessandro Boratti writes. Bank mergers and the diversification of banking products as well as interactions with customers becoming digital are inevitable, he adds. Replicating 2024's record results in 2025 will be more challenging amid cost pressures, falling margins and weak loan growth but resilient performance this year is expected, he says. (elena.vardon@wsj.com) \n\n\n \n\n\n  (END) Dow Jones Newswires\n\n\n  February 18, 2025 04:57 ET (09:57 GMT)\n\n\n  Copyright (c) 2025 Dow Jones & Company, Inc.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":0,"need_auth":true,"code":"91000000","status":"200"}}}