Banca Popolare di Bari SCpA CEO Vincenzo De Bustis said the Italian lender is expecting to complete the acquisition of a small bank and two other "instrumental vehicles" by the end of 2019, Reuters reported, citing De Bustis' interview with local daily Il Sole 24 ore.
The transactions will enable Popolare di Bari to strengthen its capital reserves by transforming roughly €350 million of deferred tax assets into capital, following the Italian government's incentives to encourage banks in central and southern Italy to pursue deals, according to De Bustis.
He added the troubled bank will be divided into a cooperative lender and new multi-channel bank to be potentially listed.
