Generali assessing Mediobanca's 6.3 billion euro takeover proposal for Banca Generali
In a significant turn of events, Mediobanca's offer to acquire Banca Generali from Italy's Generali Group has been rejected by Mediobanca's shareholders as of August 2025. The bid, valued at approximately €6.3-7 billion, was turned down in a shareholder vote held in mid-August.
This rejection marks a significant setback for Mediobanca's strategy to block a hostile takeover of itself by Monte dei Paschi di Siena (MPS) through the acquisition of Banca Generali. Regulatory approvals, including authorization from the European Central Bank (ECB) and Bank of Italy during August 2025 for acquiring direct control of Banca Generali and related entities, did not secure shareholder support to complete the transaction.
The rejection of Mediobanca's offer leaves the future of the ongoing takeover battles in the Italian banking sector uncertain. A pivotal vote on September 25, 2025, is still expected to occur regarding MPS's hostile takeover bid for Mediobanca, with key institutional investors supporting the Banca Generali deal as a defense measure. However, opposition from influential families such as Del Vecchio and Caltagirone adds uncertainty to the outcome.
Meanwhile, the Asset & Wealth Management division of Generali Group saw a marginal decrease in its operating result by 1.1% to €560m, supported by the input from Conning Holdings Limited (CHL). Banca Generali's operating result for the first half of the year experienced a downturn of 11.6% to €275m, primarily due to a reduction in non-recurring performance fees. Despite this decline, Banca Generali secured total net inflows of €3bn in the first half of the year.
Generali Group reported an adjusted net result of €2.2bn for the half-year period ending 30 June 2025, a 10.4% increase from the same period last year. The improvement in Generali Group's net result is attributed to its strong operational performance, particularly in the property and casualty (P&C) insurance segment. The overall operating result of Generali Group for the same period is €4.04bn, representing an 8.7% rise from the previous period.
Generali Group has confirmed its intention to pursue the evaluation of the offer and discussions on these matters. The assessment of this offer will be conducted by Generali Group according to its internal procedures over the coming weeks. No further details about the potential Industrial Partnership have been disclosed. The outcome of the evaluation will determine Generali's definitive view on the offer.
The proposed acquisition price for 100% of Banca Generali's shares is €6.3bn, as proposed by Mediobanca in April. Mediobanca aims to fund the acquisition by selling its shares in Generali's insurance arm, Assicurazioni Generali. If successful, the merger between Generali Group and Banca Generali is expected to create a significant entity in the European market.
The news of Mediobanca's rejected offer adds a layer of complexity to the ongoing takeover battles in the Italian banking sector. The outcome of the evaluation by Generali Group and the upcoming vote on MPS's hostile takeover bid for Mediobanca will shape the future of these financial institutions and the Italian banking sector as a whole.
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