The merger process between MPS (Monte dei Paschi di Siena) and Mediobanca is advancing, as confirmed by a board meeting that took place under the leadership of Nicola Maione and CEO Luigi Lovaglio. During this meeting, the board approved a share exchange arrangement where 2.45 MPS shares can be exchanged for one Mediobanca share, which includes a 3% premium compared to the stock market price. This agreement indicates an intention to acquire 100% of Mediobanca's capital and subsequently delist it from the stock exchange. The initial expectations were that the valuation would reflect 2.2 shares, making the actual proposal more favorable than anticipated.

Market observers are keenly watching for reactions, as the stock price of MPS could potentially face downward pressure following this announcement. Despite some delays in the decision-making process, the board reportedly voted unanimously in favor of this merger initiative. In a joint statement released by both financial institutions later in the evening, it was confirmed that the merger plan will be presented to the extraordinary shareholder meetings for final approval.

This merger is significant within the Italian banking sector, suggesting a potential consolidation trend among financial institutions. Both MPS and Mediobanca have recognized the strategic advantages of merging operations, which could bolster their market presence and operational efficiencies. As this merger moves towards finalization, stakeholders will be closely monitoring both market responses and regulatory approvals.