According to a source close to BPER, the bid for Banca Popolare di Sondrio was unexpected, emerging as the latest in a series of takeover attempts reshaping the banking sector. BPER, Italy's fourth-largest bank, disclosed a 4.3 billion euro ($4.5 billion) all-share proposal for the smaller Popolare di Sondrio on Thursday. The potential merger would unite two banks both predominantly owned by Unipol, Italy's second-largest insurer, holding almost 20% in each institution. Popolare di Sondrio intends to convene its board soon to evaluate BPER's offer. Unipol's CEO, Carlo Cimbri, has fostered commercial collaborations with banks to distribute insurance products, utilizing investments to bolster partnerships and support BPER's growth. The bid by BPER, anchored in Modena, a town known for automakers like Ferrari, cured meats, and balsamic vinegar, came after recent expansions through branch acquisitions and the integration of troubled competitor Carige. BPER proposes exchanging 29 new shares for every 20 Banca Popolare di Sondrio shares, representing a 7.8% premium to Thursday's closing rates. This move echoes other recent unsolicited offers in the Italian banking sector, such as UniCredit's bid on Banco BPM and state-backed Monte dei Paschi di Siena (MPS) pursuing Mediobanca. Despite being rare internationally, unsolicited bids are increasingly prevalent in Italy, partly triggered by MPS's partial sale in November, drawing Banco BPM and major investors in Mediobanca and Generali as new stakeholders. The interplay of these events led to a series of bid attempts and potential mergers among the Italian banks. Unipol's earlier proposal for an insurance partnership with MPS was not pursued by the Italian government, aligning with historical political affiliations.