Paschi Climbs as Investors Meet to Approve Capital Plan
- Shareholders have yet to vote on bank’s capital increase
- Bank plans to start 4.3 billion-euro debt-swap on Monday
Monte Paschi Capital Plan Goes to Shareholder Vote
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Banca Monte dei Paschi di Siena SpA extended gains amid optimism that shareholders will approve the ailing Italian bank’s plan for a vital 5 billion-euro ($5.3 billion) capital increase at a meeting in Siena.
The shares rose 4.1 percent to 23 cents at 5:11 p.m. in Milan trading, after earlier surging as much as 14 percent. Monte Paschi plans to start a 4.3 billion-euro debt-swap on Monday, with an offer period of five days, Chief Executive Officer Marco Morelli said at the extraordinary meeting on Thursday. Shareholders have yet to vote on the capital increase at the gathering.