S&P Global Market Intelligence presents In Play Today, a periodic summary of potential deal activity in the financial sectors of Europe, the Middle East and Africa. This summary, which is displayed according to the location of a target's headquarters, is based on information obtained by S&P Global Market Intelligence and may not be inclusive of all potential deal activity.
* Intesa Sanpaolo SpA is set to acquire Swiss private bank Banque Morval SA in a deal that could be worth €150 million to €200 million, a "source with knowledge of the matter" told Reuters. The deal could be reached shortly, with the transaction expected to close by the end of the year, the source said, adding that Intesa private banking unit Fideuram SpA would manage Banque Morval following the acquisition.
* BNP Paribas SA plans to merge the U.K. subsidiary of its real estate arm with property services group Strutt & Parker, company officials told Reuters. The merger is expected to close in September.
* Mizrahi Tefahot Bank Ltd. CEO Eldad Fresher said the lender is in talks to acquire a controlling stake in Union Bank of Israel Ltd., adding that the price of the purchase, should it materialize, would be 0.6x equity at a valuation of 1.4 billion Israeli shekels, representing a 10% premium to the market price. Israel's banking supervisor, Hedva Ber, said she was open to the acquisition as it would open up competition in Israel's banking sector.
* Prudential Plc is said to be looking at selling roughly £10 billion of its annuities business, The Times reported, with potential buyers including Rothesay Life Plc, Pension Insurance Corp. Plc and Legal & General Group Plc. Aviva Plc and Scottish Widows Ltd. could also be interested, given that both are bolstering their respective annuities divisions, the report noted, adding that the move could result in the divestment of Prudential's entire annuity assets worth £45 billion.
* Millennium BCP, which controls Polish lender Bank Millennium SA, said it is interested in purchasing Deutsche Bank AG's Polish unit Deutsche Bank Polska SA, with Banco Santander SA's Bank Zachodni WBK SA and Commerzbank AG's mBank SA also eyeing the lender. Bank Millennium is said to be more committed to striking a deal than mBank, the newspaper said, adding that the valuation of Deutsche Bank Polska's business to be included in the deal could amount to 1.6 billion Polish zlotys.
Rest of the world
* Bahrain-based Islamic retail bank Ithmaar Holding BSC is considering selling its 25.4% stake in BBK BSC, "sources familiar with the matter" told Reuters. The stake, which is worth about $250 million, may only be offered to strategic investors.
* U.S.-based Warburg Pincus LLC plans to acquire a 49% stake in China-based Fortune SG Fund Management Co. Ltd., a joint venture between Société Générale SA and China Baowu Steel Group Corp. Ltd. Warburg Pincus will acquire the stake in Fortune SG from SocGen, China Money Network reported.