Paschi Plans to Raise Up to $5.6 Billion and Sell Bad Loans

  • Underwriters’ agreement is conditional on sale of bad debts
  • Atlante to buy mezzanine tranche in bad loan securitization

Banca Monte dei Paschi di Siena SpA will tap investors for the third time in two years by selling up to 5 billion euros ($5.6 billion) of stock to replenish capital following the planned disposal of its entire bad-loan portfolio.

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