Monte dei Paschi faces tougher vote on Banco BPM deal

That makes the Banco BPM leg of the strategy look especially difficult. Credit Agricole, which owns 29.3% of Banco BPM, repeated that it prefers a combination between Banco BPM and its own Italian operations, effectively setting a higher hurdle for any bid from MPS and signaling it can block any move that cuts across its interests.

Clotilde L’Angevin, Credit Agricole’s chief financial officer, said the French lender’s position is “solid” and that “nothing can be done without us, nothing can be done against us,” while also stressing the group’s long-term commitment to Italy. The comments reinforce market suspicion that any deal involving Banco BPM will have to account for Credit Agricole’s stake and strategic ambitions.

Reuters also reported that the Italian government has decided not to use its golden power on any of the pending offers, reducing the prospect of direct state intervention even as ministers signal neutrality. For investors, that leaves the contest to be settled more by shareholder arithmetic and partner bargaining than by politics.

The timing is important for the whole Italian banking sector. MPS is holding a board meeting after adding two new directors, while the separate Intesa Sanpaolo-backed Opas on MPS continues to move through approvals, with the ECB decision expected around mid-October and a possible launch in November if regulators clear the way.

The message for the market is that consolidation in Italian banking remains alive, but the path is becoming more selective and more expensive. MPS still has one of the sector’s most ambitious restructuring stories in play, yet the decisive votes now look likely to sit with large shareholders such as Credit Agricole rather than with the Treasury.