The Italian minister of economy and finance, Pier Carlo Padoan, signed a decree allowing Società per la Gestione di Attività to acquire a portion of the bad loans of Veneto Banca SpA and Banca Popolare di Vicenza SpA.

These had not been part of the liquidated lenders' sale to fellow Italian bank Intesa Sanpaolo SpA in 2017.

The decree will allow Società per la Gestione di Attività to manage the portfolio, thereby maximizing the chances of recovering the loans, for instance by restructuring them, the Italian economy and finance ministry said Feb. 23.