Intesa Sanpaolo raises its Monte dei Paschi offer: what a 25% increase in the cash portion is worth
Intesa added 25 euro cents of cash per MPS share on October 3, 2026 and tied the whole bid to a shareholder vote on October 29.
- Intesa Sanpaolo raised the cash part of its offer for Monte dei Paschi di Siena from EUR 1.00 to EUR 1.25 per share on Saturday, October 3, 2026.
- The 1.6 new Intesa shares offered for each MPS share did not change, so the increase adds about EUR 800 million to an offer reported at EUR 31.4 billion.
- Intesa said it can drop the bid if MPS shareholders approve either of the bank's own takeover offers at the meeting on October 29, 2026.
Intesa Sanpaolo raised its takeover offer for Banca Monte dei Paschi di Siena (MPS) on Saturday, October 3, 2026, lifting the cash it will pay from EUR 1.00 to EUR 1.25 for each MPS share. The 1.6 new Intesa shares offered for each MPS share stay the same. Intesa also said it would be entitled to withdraw the bid if MPS shareholders back their own management's plan at a meeting on October 29, 2026.
Headlines described the move as a 25% increase, and that figure applies only to the cash. The offer is mostly paid in Intesa shares. At full acceptance, Italian press reports put the raised offer at EUR 31.4 billion, of which EUR 27.6 billion is shares and EUR 3.8 billion is cash. Reuters put the extra cash at about EUR 800 million, which lifts the total by roughly 2.6%.
| Per MPS share | June 2026 offer | October 3, 2026 offer |
|---|---|---|
| New Intesa shares | 1.6 | 1.6 |
| Cash | EUR 1.00 | EUR 1.25 |
Why the cash portion of the MPS offer is small
Cash makes up about 12% of what Intesa is offering. The rest moves with Intesa's own share price, so the value of the bid to an MPS holder changes every trading day, and by much more than 25 euro cents when Intesa's stock has a strong or weak week. Reuters describes the offer Intesa announced in June as a EUR 34 billion share-and-cash bid. The EUR 31.4 billion figure for the raised offer is a different calculation made at different share prices, and the two numbers should not be read as a cut.
The extra cash is also conditional. Reuters reported that Intesa will pay it if MPS shareholders reject the counter plan put forward by the bank's chief executive, Luigi Lovaglio.
The October 29 vote decides whether the bid survives
Lovaglio opposes the Intesa offer and has asked shareholders to approve two all-share takeover bids by MPS itself, one for the asset manager Banca Generali and one for the rival lender Banco BPM. Buying either would make MPS a larger and different company from the one Intesa bid for in June.
Intesa's statement on Saturday removes any middle outcome. If the meeting approves either of the two MPS offers, the conditions attached to Intesa's bid give it the right to walk away. MPS shareholders therefore have to choose between a raised offer from Intesa and a management plan that would end it.
- June 2026: Intesa Sanpaolo announces a share-and-cash offer for MPS of 1.6 new Intesa shares and EUR 1.00 in cash per MPS share.
- October 3, 2026: Intesa's board raises the cash to EUR 1.25 and says approval of either MPS takeover offer would let it drop the bid.
- October 29, 2026: MPS shareholders vote on the offers for Banca Generali and Banco BPM.
What the raise tells MPS shareholders
Intesa chose to add cash and leave the exchange ratio alone. A higher ratio would have meant issuing more new shares and diluting Intesa's own holders further, while the extra EUR 800 million is a fixed cost that does not grow if Intesa's shares rise. The announcement came on a Saturday, with Milan closed, so the first market prices for the raised offer will be set when trading opens on Monday, October 5, 2026.
How much is Intesa Sanpaolo now offering for Monte dei Paschi?
For each MPS share Intesa offers 1.6 new Intesa shares and EUR 1.25 in cash, up from EUR 1.00 in cash. Italian press reports value the raised offer at EUR 31.4 billion at full acceptance.
What does the 25% increase in the Intesa offer for MPS mean?
The 25% applies to the cash part only, which rose by 25 euro cents per share. Because most of the offer is paid in Intesa shares, the extra EUR 800 million raises the total by roughly 2.6%.
Can Intesa Sanpaolo withdraw its bid for MPS?
Intesa said on October 3, 2026 that the conditions of its offer let it drop the bid if MPS shareholders approve either of the bank's own takeover offers, for Banca Generali or Banco BPM, at the meeting on October 29, 2026.
What are MPS shareholders voting on on October 29, 2026?
They vote on chief executive Luigi Lovaglio's plan for MPS to make two all-share takeover offers, one for Banca Generali and one for Banco BPM. Lovaglio presents the plan as the alternative to accepting Intesa's bid.
Sources
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Italy's Intesa raises MPS takeover offer price and warns it could drop bid
— Reuters
Cash raised from EUR 1 to EUR 1.25 per MPS share on top of 1.6 new Intesa shares; a further EUR 800 million if shareholders reject the MPS counter plan; right to drop the bid if either MPS offer is approved on October 29; the June offer described as EUR 34 billion; Lovaglio's bids for Banca Generali and Banco BPM.
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Intesa Sanpaolo raises the stakes on Mps: cash relaunch and ultimatum before the assembly, offering an additional EUR 0.25 in cash
— La Sicilia
Total value of EUR 31.4 billion at full acceptance: EUR 27.6 billion in shares and EUR 3.8 billion in cash; the offer becomes ineffective if the October 29 meeting approves the defensive plan.
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Mps, da Intesa Sanpaolo rilancio cash da 0,25 euro per azione
— Milano Finanza
The cash increase of EUR 0.25 per share and the condition tied to the MPS exchange offers for Banco BPM and Banca Generali.
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