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Monte dei Paschi weighs Banco BPM takeover after merger of equals talks collapse

Monte dei Paschi di Siena's chief executive is considering a direct approach to Crédit Agricole, Banco BPM's largest shareholder, after talks aimed at a merger of equals between the two Italian banks fell apart. MPS has moved from pursuing…

By Callum Whyte·Aug 2, 2026·1 min read·deals

Key takeaways

  • Monte dei Paschi di Siena is considering a direct approach to Crédit Agricole, Banco BPM's largest shareholder, after merger-of-equals talks with Banco BPM collapsed.
  • MPS has shifted from pursuing a consensual merger of equals to exploring a potential takeover of Banco BPM.
  • The MPS chief executive's focus on Crédit Agricole reflects that building support for any deal runs through that shareholder's stake.
  • The source reports no deal sizes, stake percentages, pricing, or timelines, and does not say whether any approach has been made or how Crédit Agricole might respond.

Monte dei Paschi di Siena's chief executive is considering a direct approach to Crédit Agricole, Banco BPM's largest shareholder, after talks aimed at a merger of equals between the two Italian banks fell apart. MPS has moved from pursuing a consensual deal to exploring a potential takeover.

The deal structure pivot

A merger of equals and a takeover carry different consequences for governance and control. The former implies proportional stakes and shared leadership across both institutions. When that framework collapses, the party still motivated to transact faces a choice: walk away or return as an acquirer. MPS has taken the second path.

Crédit Agricole's position

Crédit Agricole is Banco BPM's largest shareholder, a position that gives it significant influence over whether any external approach can gain traction. The MPS chief executive's reported focus on that shareholder reflects the practical reality that building support for a deal runs through that stake. The source does not report whether any approach has been made or how Crédit Agricole might respond.


Note: The source provides no deal sizes, stake percentages, pricing, or timelines. No figures appear above because none were reported.

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Source: ft.com
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Frequently asked

Why is Monte dei Paschi now considering a takeover instead of a merger?

The talks aimed at a merger of equals between MPS and Banco BPM fell apart, and MPS, still motivated to transact, chose to return as an acquirer rather than walk away.

Why is Crédit Agricole central to any deal for Banco BPM?

Crédit Agricole is Banco BPM's largest shareholder, a position that gives it significant influence over whether any external approach can gain traction.

What is the difference between a merger of equals and a takeover here?

A merger of equals implies proportional stakes and shared leadership across both institutions, while a takeover means MPS would return as an acquirer, carrying different consequences for governance and control.

Has MPS actually made an approach to Crédit Agricole?

The source does not report whether any approach has been made or how Crédit Agricole might respond.