oldmouseit
Forumer storico
Richieste molto alte, ancora non si sa se son riuscito a prenderle....
Obbligazioni perpetue e subordinate Tutto quello che avreste sempre voluto sapere sulle obbligazioni perpetue... - Cap. 3
- Creatore Discussione Joe Silver
- Data di Inizio
Richieste molto alte, ancora non si sa se son riuscito a prenderle....
Requirement that MPS Raise Its Capital Increase Is Credit Negative for Subordinated
Bondholders
On 8 September, the Italian treasury announced that Banca Monte dei Paschi di Siena S.p.A. (MPS, B2
negative, E/caa3 no outlook)7
will need a €2.5 billion capital increase to receive the European Commission’s
(EC) approval of state aid provided to the bank. This amount is larger than the €1 billion increase the bank
proposed in June, and is credit negative for MPS’ bondholders. The higher amount increases the risk that
the capital increase will be unsuccessful, forcing the Italian treasury to become a shareholder and
subordinated creditors to sustain losses as part of a bank rescue.
It will be challenging for MPS to place a €2.5 billion share issue in the market in 2014 because the amount
is substantial, exceeding the bank’s €2.4 billion market capitalisation, and because MPS is unprofitable.
Moreover, three smaller Italian banks are looking to raise a combined €1.7 billion: Banca Carige S.p.A.
(Ba2 negative, D-/ba3 negative), which seeks to raise up to €800 million; Banca Popolare di Milano S.C.a
r.l. (Ba3 review for downgrade, E+/b1 review for downgrade), which aims to raise €500 million; and Banca
delle Marche S.p.A. (Caa1 review for downgrade; E/ca no outlook), which hopes to raise €400 million.
MPS reported a net loss of €380 million for the first half of 2013 after a net loss of €3.2 billion in 2012. It
is also uncertain if MPS will meet its forecast of returning to profitability in 2015 given the adverse
operating environment. Furthermore, the bank’s largest shareholder, the not-for profit Monte dei Paschi
Foundation, which owns a 33% stake in MPS, does not have the means to subscribe to theshare issue.
If the share issue is unsuccessful, the Italian treasury would have to partly convert into equity the €4.1
billion of state aid it has already granted to MPS. In such a scenario, there is an increased risk that Italian or
European authorities will require subordinated creditors to contribute to the cost of the recapitalisation.
The bank has about €6 billion in hybrid securities (preferred stock and junior subordinated debt) and €30
billion of senior subordinated debt outstanding, with retail investors owning 90% of the latter. The EC will
also likely require coupon deferral for junior subordinated debt as a condition for state aid approval.
In February 2013, the Italian treasury purchased €4.1 billion of MPS’ hybrid bonds (including €1.9 billion
of existing bonds) to plug a shortfall in MPS’ European Banking Authority (EBA) capital requirement. The
EC required that MPS submit a restructuring plan before it would approve Italy providing state aid to
MPS. The bank submitted its plan in June and the treasury has now disclosed some guidelines agreed upon
with the EC. In addition to a higher capital increase with which to repay part of the state aid, the plan
includes deep cost cuts, asset sales, branch closures and a reduction of the bank’s €29 billion, mainly longdated, government bond portfolio, which contributed to the EBA capital shortfall. MPS’ board expects to
approve the new plan, in conjunction with the treasury and the Bank of Italy, on 24 September. The EC
then has two months to approve or disapprove the restructuring plan.
Male che vada, spero in una ristrutturazione stile bankia.
Ma in tutto questo marasma, le perp antonveneta, finiscono nel calderone?
Bondholders
On 8 September, the Italian treasury announced that Banca Monte dei Paschi di Siena S.p.A. (MPS, B2
negative, E/caa3 no outlook)7
will need a €2.5 billion capital increase to receive the European Commission’s
(EC) approval of state aid provided to the bank. This amount is larger than the €1 billion increase the bank
proposed in June, and is credit negative for MPS’ bondholders. The higher amount increases the risk that
the capital increase will be unsuccessful, forcing the Italian treasury to become a shareholder and
subordinated creditors to sustain losses as part of a bank rescue.
It will be challenging for MPS to place a €2.5 billion share issue in the market in 2014 because the amount
is substantial, exceeding the bank’s €2.4 billion market capitalisation, and because MPS is unprofitable.
Moreover, three smaller Italian banks are looking to raise a combined €1.7 billion: Banca Carige S.p.A.
(Ba2 negative, D-/ba3 negative), which seeks to raise up to €800 million; Banca Popolare di Milano S.C.a
r.l. (Ba3 review for downgrade, E+/b1 review for downgrade), which aims to raise €500 million; and Banca
delle Marche S.p.A. (Caa1 review for downgrade; E/ca no outlook), which hopes to raise €400 million.
MPS reported a net loss of €380 million for the first half of 2013 after a net loss of €3.2 billion in 2012. It
is also uncertain if MPS will meet its forecast of returning to profitability in 2015 given the adverse
operating environment. Furthermore, the bank’s largest shareholder, the not-for profit Monte dei Paschi
Foundation, which owns a 33% stake in MPS, does not have the means to subscribe to theshare issue.
If the share issue is unsuccessful, the Italian treasury would have to partly convert into equity the €4.1
billion of state aid it has already granted to MPS. In such a scenario, there is an increased risk that Italian or
European authorities will require subordinated creditors to contribute to the cost of the recapitalisation.
The bank has about €6 billion in hybrid securities (preferred stock and junior subordinated debt) and €30
billion of senior subordinated debt outstanding, with retail investors owning 90% of the latter. The EC will
also likely require coupon deferral for junior subordinated debt as a condition for state aid approval.
In February 2013, the Italian treasury purchased €4.1 billion of MPS’ hybrid bonds (including €1.9 billion
of existing bonds) to plug a shortfall in MPS’ European Banking Authority (EBA) capital requirement. The
EC required that MPS submit a restructuring plan before it would approve Italy providing state aid to
MPS. The bank submitted its plan in June and the treasury has now disclosed some guidelines agreed upon
with the EC. In addition to a higher capital increase with which to repay part of the state aid, the plan
includes deep cost cuts, asset sales, branch closures and a reduction of the bank’s €29 billion, mainly longdated, government bond portfolio, which contributed to the EBA capital shortfall. MPS’ board expects to
approve the new plan, in conjunction with the treasury and the Bank of Italy, on 24 September. The EC
then has two months to approve or disapprove the restructuring plan.
Male che vada, spero in una ristrutturazione stile bankia.
Ma in tutto questo marasma, le perp antonveneta, finiscono nel calderone?
Ultima modifica:
fabriziof
Forumer storico
30 miliardi di subordinati?
A quick glance at BMPS' capital structure shows that there isn't a whole lot (read: almost any) of impairable securities below the unsecured liability (i.e., deposit) level.
Ultima modifica:
Cat XL
Shizuka Minamoto
I costi, se ci fossero, sarebbero minimi. Una due diligence/credit review sulla controparte. Non hanno voglia di sbattersi.
I bond trattano DVP (Delivery Versus Payment) la transazione meno rischiosa che puoi fare con una controparte.
Rottweiler
Forumer storico
No.
30 miliardi di "senior subordinated"=con grado di subordinazione senior, che è un concetto un po' diverso...
fabriziof
Forumer storico
dove li collochi nello specchietto che ho postato?dove i senior subordinated sono 2 miliardi e rotti
Ultima modifica:
russiabond
Il mito, la leggenda.
Per fabrizio ...senior banca marche 3ead sul fol ...
siccome l' impiegato non ha voluto dirmi niente al telefono mi ha promesso una mail con una schermata prezxi titoli...
Quando mi arriva mi faccio vivo dopo le 14.30 di oggi ...adesso sono con lo smart
siccome l' impiegato non ha voluto dirmi niente al telefono mi ha promesso una mail con una schermata prezxi titoli...
Quando mi arriva mi faccio vivo dopo le 14.30 di oggi ...adesso sono con lo smart
fabriziof
Forumer storico
Per fabrizio ...senior banca marche 3ead sul fol ...
siccome l' impiegato non ha voluto dirmi niente al telefono mi ha promesso una mail con una schermata prezxi titoli...
Quando mi arriva mi faccio vivo dopo le 14.30 di oggi ...adesso sono con lo smart
Ti ho risposto sul fol
Rottweiler
Forumer storico
Ti darei una risposta più convinta se tu chiarissi una cosa: quello specchietto è parte integrante dell'articolo postato da Gionmorg? Se non lo fosse, allora non avrebbe molto senso mettere in relazione i due set di numeri, visto che queste definizioni soffrono di un certo grado di arbitrarietà.
La mia deduzione in tal caso sarebbe che:
1)nel primo articolo "senior subordinated" viene inteso come ho già scritto;
2)nella tabella lo stesso termine viene riferito alla parte "senior" dei subordinati. In tal caso, i 30 bln di cui sopra sarebbero parte della voce nr. 3
Ultima modifica:
Cat XL
Shizuka Minamoto
Lo specchietto e' la pagina CAST (Capital Structure) di Bloomberg con tutte le semplificazioni di BBG.
La butto li
Senior Subordinated = UT2 + LT2
Junior Subordinated = T1 + Fresh???
Se ho tempo faccio altre ricerche su BBG ci sono diverse pagine sotto CAST.
Ultima modifica:
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