Italian Banks Italian M&A - factual comments

Research evidence excerpt

Italian Banks Italian M&A - factual comments

J P M O R G A N Europe Equity Research

08 June 2026

Italian Banks

Italian M&A - factual comments

MPS has become the center of Italian banking M&A, with Banco BPM formally European Banks

ACproposing merger discussions and ISP launching an offer for MPS with the support Delphine Lee

of Unipol. Whilst focused on CBK until early July, UCG could also potentially (44-20) 7134-3971

refocus on Italy as well, with management commenting in recent conference calls delphine.x.lee@jpmorgan.com

that the group is monitoring the competitive landscape in Italy. Cred Ag could also Kian Abouhossein

play a role as the largest shareholder in Banco BPM, and management has (44-20) 7134-4575

commented that the group would defend its interests in Italy. Banco BPM estimates kian.abouhossein@jpmorgan.com

J.P. Morgan Securities plc

€1.1bn of synergies pretax with double-digit EPS accretion and CET1 of ~15%

proforma for the combined entity. ISP proposes to acquire Mediobanca and ~625 Specialist Sales contact details:

branches and selected MPS activities, with a potential €2.9bn of synergies pretax,

Gigi Sparling - Specialist Sales -

8% accretion to EPS, DPS and distribution per share and CET1 exceeding 14%. European Financials

(44-20) 7134-0355

• Factual comments on BAMI proposal of merger of equals to MPS: Banco ghislaine.sparling@jpmorgan.com

BPM proposes discussions with MPS to create the second-largest bank in Italy

through a merger of equals, with full alignment of interests for all shareholders

around a common industrial plan and a balanced governance structure

safeguarding the respective brands, historical headquarters and local roots.

Banco BPM announced potential €1.1bn of synergies pretax, split €650m cost