An acquisition diGenerali on the part of Intesa Sanpaolo that lead to the integration of their business insurance would have a negative impact for the credit rating of the insurance company. This is the opinion of Moody’s. According to the agency there would be some synergies, which, however, would have a lower incidence compared to the “reduction of the significant geographical diversification of the General, which is currently one of the major forces of the society” from the point of view of the evaluation.
General studies the comebacks to the plan Agreement
For Intesa Sanpaolo, continued analysts of Moody’s – the impact on the level of credit will depend on how will be financed the operation, which is not yet clear. The acquisition of General is a good opportunity for Understanding in order to expand its growth strategy in the managed savings and insurance. However, the operation involves a significant risk of running to the bank, given the complexity and size of the two groups.
A Lion less international
General – indicates Moody’s – currently has a financial strength ratings from insurance rating “Baa1″, which is a step higher than the sovereign, reflecting its broad international presence, which is important in particular in Germany and France. For this, the exposure of the General to Italy is limited to 35% of the gross premiums, although the company is a leader in the Country. For against Intesa is almost entirely focused on Italy and its insurance business is limited to the domestic market. The geographical diversification of the General, would be further reduced if it were sold certain of its foreign subsidiaries in the scope of the operation. This – noted the analysts of the agency – “is a plausible scenario, as it frequently happens that purchasers of large groups and complex formation of some of the assets that they have purchased”.
rock Climbing in General, the conditions of Messina
Dismssioni for Antitrust
a General note on the other hand, the report, is apparently taking measures to avoid that Intesa arrivals gradually to check out a share in the company as a prelude to a Takeover bid, as evidenced by the acquisition of 3,01% of the bank according to the Italian law leaves it up to Understanding the unique option of launching a formal offer of at least 60% of the shares in General. While noting that the financing of such a transaction is not currently clear, the agency also notes that with the operation the purpose of which would reach some of its strategic objectives, diversificherebbe the sources of profitability and there would be potential synergies in the life insurance and asset management. At the same time, on the other hand, the acquisition would lead to execution risk. Because of both General and Understanding have important activities in the Life in Italy (with market shares of 16% and 20%, respectively), their integration wou ld require some divestitures for antitrust. Moody’s believes, however, that the acquisition of General would also lead to more sales of products, Damages to the counters of the Understanding. Finally, the agency notes that the model of bancassurance has had different outcomes in various Countries. While it seems to work in France and Italy, in other markets such as the Benelux, the synergies have proven difficult.
"The model of bancassurance has had different outcomes in different Countries: while it seems to work in France and Italy, in other markets the synergies have proven to be difficult"
Terminated the Cda Agreement
in the meantime it Is finished in the evening, after almost 5 hours of meeting, the board of directors of Intesa SanPaolo. Officially the meeting was convened on the theme of the budget in 2017, and yesterday the to.d. Carlo Messina had explained that it would not be talked about in General but it is clear that the central theme remains that of a possible public exchange Offer (Ops) on the General. The market is still held to be plausible the hypothesis that in the next few weeks to be made an Oops. Or some other pattern of attack. Unless the bank decides to try to knock however, the door of the General to try to understand if, with a concerted action, can be those “combinations of industrial” referred to by the Ca’ de Sass when he confirmed the interest to the Lion.
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