Monte Paschi raises €4.99bn

June 29, 2014 - 12:00:00 am

ROME: Italian bank Monte dei Paschi di Siena said it had raised €4.99bn through share sales in a move which should boost its standing with the European Central Bank.

Shareholders at the bank, the country’s third-largest by number of branches, pledged to buy 99.85 percent of its €5bn rights offering.

The sale will allow it to repay state aid and increase the chances it could pass a health test the ECB is carrying out on eurozone lenders. “The excellent result of the capital increase allows us to look to the future with renewed energy,” CEO Fabrizio Viola was quoted as saying in the statement.

The sale would allow the bank to “pay back around €3.5bn to the Italian government, including interest,” he said. AFP

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