is looking intodelaying Banca Popolare diVicenza SpA's proposed rights issue if market conditions remain unfavorable,Reuters reported March 30, citing "three sources close to the matter."
UniCreditsigned a preliminary contract to underwrite Popolare di Vicenza's capitalincrease, which is scheduled for April, but it does not want to end up with asizable stake in the popolari bank, according to the sources. UniCredit is saidto be in talks withthe Italian government about the possible use of a contractual clause thatcould allow the bank to back out as underwriter in the case of adverse marketconditions.
"Noone guarantees anything if the market conditions are not right. UniCredit hasno intention of becoming a shareholder in the bank," one of the sourcestold Reuters. Another added that a delay is likely, although it would requireECB approval.
Meanwhile,a source at Popolari di Vicenza reportedly said its plans for a capitalincrease were going according to plan and that the bank is awaiting regulatoryapproval.
Thebank said March 22 that it would look to raise €1.5 billion through a rightsissue, with a €150 million overallotment option, €38 million reserved for"a loyalty-building purpose" and €75 million for an "incentivepurpose."