It is all change at Banca Italease
following months of uncertainty. Last month shareholders agreed to
a restructuring of the embattled leasing company. This took place
days after four of its former heads were sentenced to between 18
and 32 months in jail for their involvement in criminal activity at
the company.
As part of the restructuring some of Banca
Italease’s receiveables have been transferred to two unnamed new
companies, ownership of which has been divided between Banco
Popolare (BP) and three other Italian banks. Meanwhile, a watered
down Banca Italease is now 100 percent owned by BP after it bought
all its shares at €1.50 each. The purpose of the restructuring is
mainly to ring-fence the lessors’ liabilities, so if one has
problems the other two are less affected.
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However, the lessor’s efforts at immunisation
come at a price. BP’s CEO Pier Francesco Saviotti estimates that
the restructuring will cost the company some €800 million, no
trifling amount.
The details of the move were unveiled by
Saviotti, who also said the first new company will take over
impaired or non-performing loans owned by Banca Italease as
outstanding on 31 March 2009 and worth up to €5 billion, as well as
liabilities for an equal amount. The second one will have
performing loans and liabilities currently owned by Banca Italease
worth up to €5.9 billion.
BP also decided last month to de-list Banca
Italease from the Milan Stock Exchange. Such a move will help it to
avoid potentially embarrassing shareholder meetings, something it
is keen to do, not least considering the recent imprisonment of
some of its former key staff.
Another seven ex-Italease staff members –
including its former CEO Massimo Faenza – remain under
investigation. This process started last December when Banca
Italease staff were accused of criminal organisation and fraud
concerning the derivatives market, and of having stolen at least
€25 million from the leasing company’s coffers.
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