Hydrogen IPO finds rare pocket of market optimism 6 Jun 2022 Italy’s De Nora, which makes components to produce a green variety of the gas, is seeking a June listing. That’s bold after choppy markets deflated other high-flying upstarts. Tapping into Europe’s drive to end its fossil-fuel dependency will help pump up a 5 bln euro valuation.
AC Milan’s soccer triumph rubs off on Elliott 1 Jun 2022 The U.S. fund is selling the Serie A winner to private equity firm RedBird for $1.3 bln, nearly 5 times sales. That’s rich for a club with chronic losses. After a challenging first half and the pandemic, Elliott looks to have made a respectable return from the Italian team.
Italian telecom network Plan B will be hurdle race 30 May 2022 Telecom Italia and a state-controlled rival want to merge their broadband networks. For KKR, which owns a stake in the $6 bln incumbent’s last-mile unit, it’s a consolation after a failed takeover. Yet any agreement will need to win over investors, bondholders, and regulators.
Italy’s financial order repels attack on Generali 29 Apr 2022 Mediobanca-backed CEO Philippe Donnet overcame opposition from investors with 30% of the $30 bln insurer to win a third term. That preserves a key financial link with the merchant bank. Donnet now has to deliver on his growth plan. The rebel investors will keep him on his toes.
Italian motorway menu serves the Benettons well 21 Apr 2022 The dynasty may merge its Autogrill chain with $4 bln Swiss duty-free specialist Dufry. Though slightly bigger, the latter is suffering the worse Covid-19 hangover. Even though they’re surrendering control, the Benettons would still have a strong hand to get a good deal.
Blackstone’s Italian gambit can stay on the road 14 Apr 2022 Looking to deter a rival bid, the buyout group has teamed up with the Benettons to take infrastructure group Atlantia private. The 19 bln euro equity value looks steep. Yet inflation protection from concession assets and cash from an upcoming sale justifies the swoop.
KKR red card is a Telecom Italia own goal 8 Apr 2022 After months of fumbling, the Italian operator hung up on the U.S. fund’s 10.8 bln euro takeover approach. Stiff opposition in Italy had dampened KKR’s interest. For CEO Pietro Labriola, revamping the hard-pressed group under intense market scrutiny will be twice as hard.
Pérez vs. Benettons will be an uphill struggle 7 Apr 2022 ACS, run by Spanish magnate Florentino Pérez, has sided with Brookfield and GIP to buy road group Atlantia, 33%-owned by the Italian tycoons. A takeover could cost 20 bln euros net of debt, but a looming 8 bln euro asset sale would help. Winning over the Benettons will be harder.
Russian yachts stranded in choppy sanctions waters 1 Apr 2022 France, Italy and Britain have grabbed headlines by seizing luxury cruisers linked to sanctioned oligarchs. But proving ownership is tricky, while keeping the expensive boats afloat may require state money or navigating complex rules. Selling them will be an even rougher voyage.
Generali investors better off with devil they know 30 Mar 2022 A rebel billionaire is vying for control of the 190-year-old insurer, a linchpin of Italian finance. Francesco Caltagirone promises higher returns and bolder M&A than under CEO Philippe Donnet. Fuzzy targets and slowing growth should make shareholders wary of switching horses.
CVC throws Telecom Italia a tricky lifeline 29 Mar 2022 The buyout firm wants to buy 49% of the troubled telco’s corporate business, which it values at 6 bln euros. A deal would help CEO Pietro Labriola trim debt. But it could complicate KKR’s push to take the group private. More crossed wires is the last thing shareholders need.
Mediobanca’s fortunes are tied to Generali 9 Feb 2022 The bank’s 13% stake in the Italian insurer accounts for a third of its net profit. Mediobanca could sell the 3.8 bln euro shareholding to finance deals, but targets are expensive. Even if CEO Alberto Nagel loses a boardroom battle at Generali, his financial future rests on it.
Italy’s top banks raise stakes in shareholder duel 4 Feb 2022 Intesa Sanpaolo CEO Carlo Messina pledged to lift the lender’s return on tangible equity to 14% by 2025, topping a bold target set by new UniCredit boss Andrea Orcel. Intesa starts from a strong base but lacks M&A options. Rising interest rates could give both an extra boost.
The Exchange: UniCredit’s Andrea Orcel 3 Feb 2022 The Italian banker wants to return 16 bln euros to investors by 2024. Choppy markets and growing geopolitical risks raise the bar for European banks’ promised returns. UniCredit CEO Andrea Orcel tells Breakingviews how his $35 bln lender can navigate through uncertain times.
Italy energy firm dive is Rome’s latest hot potato 1 Feb 2022 Oil services firm Saipem may need at least 1 bln euros of fresh equity after warning of a loss just three months into a new business plan. The shock puts pressure on new CEO Francesco Caio. Given the uncertainty, top investors Eni and the Italian state may foot most of the bill.
Italy presidential race delivers least bad option 31 Jan 2022 Lawmakers backed incumbent Sergio Mattarella for a second term. This averts an implosion of the reformist executive of premier Mario Draghi, who had vied for the presidency. The status quo offers investors cover from Italy’s dysfunctional politics while an energy crisis rages.
MSC gives Lufthansa cover for Italian raid 27 Jan 2022 The shipping giant and German carrier want to buy Alitalia successor ITA, a boon for Italian taxpayers. A reported 1.2 bln euro price tag will surprise Berlin, which retains a 14% stake from a 2020 airline bailout. If MSC does the heavy lifting, the swoop is easier to justify.
Italy telco deal would open European floodgates 25 Jan 2022 Vodafone and Iliad may merge their Italian units, cutting the number of operators in the country to three. EU competition boss Margrethe Vestager has less scope than previously to scupper such a tieup. Copycat consolidation in Germany, Spain, France and Britain could follow.
Italy’s presidential race revives political risk 24 Jan 2022 Former premier Silvio Berlusconi abandoned a divisive bid to become the country’s president. The absence of decent alternatives favours Prime Minister Mario Draghi’s ascent. If he makes the switch, however, Italy could have another ineffective government or face early elections.
Eni’s quirky rejig may turn rivals green with envy 24 Jan 2022 Italy’s $54 bln oil major may list stakes in its green energy and biofuels arms, as well as a Norwegian subsidiary. That’s different from rivals which are financing green investments by selling fossil fuels. Yet if Eni’s spinoffs get cheaper financing, others may follow suit.