(Alliance News) - The latest chapter in the Italian banking consolidation saga could pave the way for Crédit Agricole to increase its stake in Banco BPM.

As reported by Il Messaggero on Monday, following the withdrawal of UniCredit's exchange offer for the lender led by Giuseppe Castagna and the uncertainties surrounding a potential tie-up between Banco BPM and Banca Monte dei Paschi di Siena, a window of opportunity may be opening for the French group to further bolster its presence in Italy.

Having first entered Banco BPM's capital with a nearly 10% stake in 2022, Crédit Agricole has gradually increased its holding to nearly 30%, providing support to the Milan-based bank's management. Looking ahead, the possibility of a full takeover bid for the institution is not being ruled out. The bank currently has a market capitalization of approximately EUR20 billion and closed 2025 with a profit of EUR2.1 billion, exceeding its targets.

Banco BPM operates around 1,400 branches, including the networks of Azimut, Banca Aletti, Banca Akros, and Webank. It serves a client base of 3.6 million, comprised of 87% households, 13% businesses and professionals, and 1% non-profit organizations.

The group employs approximately 19,000 staff, with a gender split of 47% women and 53% men. It maintains a strong national footprint, with 491 branches in Lombardy, 157 in Veneto, 150 in Piedmont, 149 in Emilia-Romagna, and 126 in Tuscany.

Any further move by Crédit Agricole will, however, need to account for other significant shareholders.

BlackRock holds a stake exceeding 5%, while a consultation pact comprising foundations and pension funds controls 5.9% of the capital. Recently, Unipol also joined the shareholder register with a 1.5% stake.

To date, Crédit Agricole has refrained from commenting on speculation regarding a merger between Banco BPM and MPS. Nevertheless, sector consolidation remains an open theme and could offer the French group fresh growth opportunities within the Italian market.

By Antonio Di Giorgio, Alliance News reporter

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