Italy’s BPER to pay out $1 bln to investors under new plan | Reuters

Bper bank logo is pictured in Rome, Italy, February 17 ,2021. REUTERS/Guglielmo Mangiapane

MILAN, June 9 (Reuters) – Italy’s fourth-largest bank BPER Banca (EMII.MI) on Friday pledged to reward investors with al least 1 billion euros ($1 billion) in dividends under a new plan that envisages cutting 600 branches and stepping up digital investments.

BPER, whose main shareholder is Italy’s No.2 insurer UnipolSAI (US.MI), said it would grow its net profit to around 800 million euros in 2025 from 384 million last year by betting on its insurance and wealth management businesses to drive fee income.

BPER, which insurer UnipolSAI has steered onto an expansion path to build a wide distribution network for its products, said net fees would account for half its overall revenues in 2025, from 45% last year.

The new 2022-2025 plan comes after BPER agreed to buy ailing rival Carige this year in a rescue deal financed by the industry.

The Carige acquisition followed the purchase of around 600 branches BPER bought as part of Intesa Sanpaolo’s UBI takeover in 2020. ($1 = 0.9401 euros)

Andrea Mandalà, editing by Valentina Za

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