is to surrenderits majority ownership of its Polish unit as it looks to strengthen its capitalposition.
TheItalian lender on July 12 launched an accelerated placement of up to 10.0% ofBank Pekao SA'sexisting share capital, with final terms to be determined through anaccelerated book building process. Pricing and allocations will be announced assoon as practicable after the books close.
Thesale is the second UniCredit has launched in two days. It announced thedivestment of an up to 10% stake in unit FinecoBank SpA on July 11, alongside a strategic reviewof all areas of its operations.
TheFinecoBank sale was completed July 12, with UniCredit placing approximately60.7 million shares at €5.40 per share.
UniCreditowns 50.1% of Bank Pekao, according to SNL Financial data. It said theplacement will enable it to strengthen its capital position while retaining acontrolling stake in the unit.
BankPekao has been the subject of various deal rumors as UniCredit faces questionsover its capital position, including that it might the unit to the Polish government.
MorganStanley & Co. International Plc, Citigroup, UBS Ltd. and UniCreditCorporate & Investment Banking are acting as joint book runners for theBank Pekao placement. UniCredit agreed to a 90-day lockup period with respectto its remaining stake in Pekao.