The European Central Bank has requested regulatory clarification from the European Banking Authority regarding Banco BPM's proposal to utilize the "Danish Compromise" rules in their attempt to acquire fund manager Anima Holding. Banco BPM, a takeover target for UniCredit, has made a conditional buyout offer for Anima, contingent on ECB approval of the Danish Compromise rules.
These rules would allow Banco BPM to risk-weigh an insurance holding rather than deduct it entirely from its regulatory capital. In this case, the rule would also extend to an asset acquired through the insurance arm, as Banco BPM submitted its bid for Anima through its insurance subsidiary BPM Vita.
Market observers are eagerly anticipating the ECB's responses to Banco BPM and BNP Paribas regarding their respective acquisitions, which could set a precedent for banks purchasing asset managers through their insurance units. The ECB has emphasized a case-by-case approach in considering the application of the Danish Compromise rule.
Banco BPM has confirmed ongoing discussions with the ECB on this matter, mentioning the involvement of the EBA in the assessment. The ECB declined to offer any comments on the situation. Mediobanca Securities analysts expressed optimism in a note, stating, "We would expect Banco BPM-Anima to receive the supervisor's green light, alongside BNP-AXA IM and likely any future similar deals."