Investing.com -- Mediobanca SpA (OTC:MDIBY) is set to oppose the takeover attempt by its competitor, Banca Monte dei Paschi di Siena SpA (BIT:BMPS), Bloomberg News reported on Friday, citing a source with knowledge of the matter.
Shares of Banca Monte dei Paschi di Siena SpA were down 5.5% at 04:48 ET (09:48 GMT), while Mediobanca SpA was trading higher at 6.4%.
The source, who requested anonymity, stated that Mediobanca considers the offer hostile and is likely to reject it, the report added.
On Friday, Monte Paschi unexpectedly launched a bid to acquire Mediobanca through an all-stock transaction that values the larger rival at over €13.3 billion.
This surprise move is part of a broader wave of proposed mergers and acquisitions currently sweeping Italy.
The situation is further complicated by cross-shareholdings among major Italian financial institutions. The Del Vecchio family and Francesco Gaetano Caltagirone, both major investors, hold significant stakes in both Monte Paschi and Mediobanca.
Earlier reports from Bloomberg suggested that Mediobanca might resist the offer and explore various counterstrategies, citing insiders familiar with the matter.
Mediobanca's CEO, Alberto Nagel, has previously withstood attempts to remove him by the Del Vecchio and Caltagirone families.