UniCredit's Orcel could still sweeten his bid and take on a double M&A offensive

Published On Dec 6, 2024, 1:12 AM

UniCredit, led by CEO Andrea Orcel, is considering enhancing its bid for Banco BPM by adding a cash component to its all-stock proposal. Despite recent resistance from Banco BPM and political tensions in Germany regarding a potential merger with Commerzbank, analysts suggest that Orcel still has room to adjust the proposal. The challenges faced by UniCredit in pursuing both acquisitions may lead to a pivotal decision on whether to focus on one target. The current banking environment, characterized by easing interest rates, suggests that consolidating its position could improve UniCredit's resilience in the market.