MILAN, Feb 1 (Reuters) - Intesa Sanpaolo is marketing a bad
loan portfolio worth up to 5-6 billion euro ($6-$7 billion), two
people familiar with the matter said, as Italy's biggest bank
steps up efforts to cut bad debts after buying smaller rival
Intesa Sanpaolo, which reports full-year results on
Friday, is expected to update investors on its clean-up plans,
as Italian banks brace for a new wave of pandemic-driven problem
debts once government-support measures are lifted.
Intesa last year shook up Italy's banking landscape by
launching an unsolicited takeover bid for UBI to cement its
Italian banks' discounted valuations enabled Intesa to make
a paper profit from the UBI deal of 3.3 billion euros at the end
Intesa has said it will use the funds to cover integration
costs and speed up disposals of non-performing loans (NPLs), in
line with guidelines from supervisors.
CEO Carlo Messina told analysts when presenting nine-month
results the bank would "deliver an impressive further (NPL)
de-leveraging in the coming quarters."
The portfolio of loans being marketed comprises loans
originated by both Intesa and UBI, the two people said. One of
them said the portfolio, which included also some leasing
contracts, was divided into many sub-portfolios. A third source
confirmed various loan pools were being marketed.
Intesa in December completed a 4.3 billion euro bad loan
securitisation, lowering its impaired debt burden to 24.6
billion euros gross of writedowns, or 5.9% of total lending.
That is just ahead of a 6% goal the bank had set under for
end-2021 under its current business plan.
When factoring in the acquisition of UBI Banca, Intesa's
impaired loans stood at around 31 billion euros at the end of
($1 = 0.8267 euros)
(Reporting by Valentina Za. Editing by Jane Merriman)