Monte dei Paschi will make new attempt of recapitalization private – Public.en

The Monte dei Paschi di Siena, the bank the world’s oldest and the third largest in Italy, said this Sunday that will make more of an attempt to recapitalize with private funds by the end of the year, trying to collect the 5,000 million euros required.

This position comes after on Friday the European Central Bank have not accepted the request made by the bank to which it was granted an extension of the deadline to capitalize and come back to meet the ratios required by the regulator.

the New prime minister is an ally of Renzi, and will have "full functions and powers."

After this Sunday the President of Italy has appointed a new prime minister Paolo Gentiloni), the board of directors of the Mount Monte dei Paschi di Siena met and drafted a new recapitalisation plan, which is to reopen a debt exchange offer to approximately 40 thousand investors of retail and put shares on the market. The plan, however, needs to be approved by the regulator of the stock exchange in italy, the Consob.

The initial offer, which has collected billion from institutional investors, it was considered too risky by the majority of retail investors.

in This new plan, says Reuters, the sovereign wealth fund of Qatar, bringing together a thousand million euros, while a consortium of banks will attempt to sell the shares on the market.

The Government led by Matteo Renzi has tried to implement in recent months with a plan of recapitalisation of the bank which involved the entry of new private investors and the cleaning of the balance sheet of the bank of very high volumes of non-performing loans.

however, with the defeat in the referendum held at the weekend and the resignation of the prime minister, the plans were threatened, especially because several of the potential private investors were reluctant to invest in the bank without being sure of what would be the political developments in Italy.

According to Reuters, the managers of the bank understand that the fact that the Gentiloni have been invited to form a Government can boost the confidence of private investors to enter in this capital increase.

The Monte dei Paschi is at the centre of the crisis in the financial sector, Italian.