Orrick assisted Banca Monte dei Paschi di Siena (MPS) in the agreement with a company participated by funds managed by Warburg Pincus for the sale of Banca Monte Paschi Belgio (BMPB), its Belgian subsidiary, with total assets of €1.5 billion, loans to customers of €0.8 billion, direct funding of €1 billion and a book value of €110 million as of 31 December 2017.
The deal falls within the framework of commitments undertaken with the European Commission in the 2017/2021 Restructuring Plan and is another important milestone in the path to the relaunch of the MPS Group.
The sale price was set at €42 million, subject to an adjustment mechanism.
Warburg Pincus is one of the oldest and most established global private equity firms, with more than $45 billion in private equity assets under management.
The sale is subject to approval by the National Bank of Belgium and the European Central Bank.
The Orrick team who worked on the transaction was led by partners Patrizio Messina and Emanuela Molinaro, supported by Alessandro Accrocca, of counsel, and by associates Giacomo Bellavia and Enrico Stefanelli together with Serena Mussoni.
Leo Peeters handled the belgian law aspects of the deal.
MPS has been advised by Rothschild as financial advisor.