Generali’s $2.2 Trillion Natixis Tie-Up Faces Growing Doubts

(Bloomberg) -ssicurazioni General Spa and Bpce SA eight months after explaining the intention of creating the second largest asset manager, his plans appear to be fragile.

People familiar with the issue, although both companies are planned for June, said they have not yet submitted the agreement to sign their committees. Expatient executives are still not sure that the agreement will be realized in a joint attempt that will combine assets under management 1.9 trillion € ($ 2.2 trillion $). Everyone is asked not to be named to discuss private information.

Now, the resignation of Alberto Nagel as the Banca Mountain Dei Paschi Di Siena Sou and Mediobanca CEO of Mediobanca Spa, the biggest shareholder of the Georian, adds to doubts.

Because the separation of 60 -year -old Nagel, while removing an important supporter for general CEO Philippe Donnet, strengthens a few stakeholders who criticize the agreement. Billionaire investors have been clearly opposed to Francesco Gaetano Caltagirone and Del Vecchio family Nagel’s long -term critics and Caltagirone asset management bond.

Stefano Girola, the manager of Milan-based family office SV & Partners, said, “There was no concrete progress on political resistance hardening, flux leadership and execution, the General-Bpce agreement is now similar to a delayed process and dragged into more collapse.”

General, BPCE, Monte Paschi and Mediobanca refused to comment on representatives.

The Italian government, led by Prime Minister Giorgia Meloni, played an active role in the latest developments in the country’s financial sector. Earlier this year, the comprehensive conditions imposed on Banco BPM SPA’s rejoicing by the rival Unicredit Spa caused the suitor to stop the agreement. Roma also supported the acquisition that Monte Paschi planned Mediobanca, and paved the way for an unthinkable process that was unimaginable just a few years ago.

Bloomberg News, Meloni’s 48 -year -old main concern is that Italians’ savings can be delivered to a foreign control. 82 -year -old Caltagirone, who has a 6.3% stake in the Georian, argued that an agreement would prevent the insurer’s ability to make investment decisions.

Generi rejected the criticism, saying that the governance of the joint venture would be balanced and the insurance company would maintain the ownership of assets to be attempted. He said that the agreement was necessary in a sector where the scale is important.

The preliminary agreement announced by General and BPCE in January called for 50-50 initiatives among the relevant Asset Management Units, Generali Investments Holding and Natixis investment managers. The asset would be worth an € € 9.5 billion, and the asset under the administration would be the second largest asset manager behind Europe’s amundi sa with € 1.9 trillion.

“The process between BPCE and General continues,” a BPCE spokesman said. “The work program has been set to take into account the current context.”

The senior executives of the Georist asked BPCE colleagues to review the timeline and to remove the separation penalty of € 50 million. The Italian newspaper Il Sole 24 Ore said that two companies were considering the delay of the potential agreement.

65 -year -old Donnet, Italian government officials, if opposed to Rome, said the transaction would not go ahead. In BPCE, management gives itself until the end of the year to see if the agreement is still available.

While Mediobanca’s leadership changed, there was no symptom in the short term that it would have any signs of contraction on the management or contraction on the board of directors.

Donnet enlarged Generally by acquisitions while planning to pay € 7 billion to investors by 2027 and strengthened the firm’s finance. General’s stock has increased more than twice since it took office almost ten years ago.

According to analysts in Keefe, Bruyette & Woods, it is not possible that the combination of General of the General of the General of Natixis will take place when the control of the shareholders around Caltagirone, the ongoing reluctance of the Italian government and the abolition of the break fee.

Although the cancellation is not important for the predictions of the General, it may be more important for the long -term value of the general group, ”the mediation wrote on September 18th.

-Help from Alesandra Migliaccio and Donato Paolo Mancini.

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