Finance

New Italy Banking Force Begins to Emerge From Monte Paschi Deal

A BPM SpA bank branch in Milan.

Photographer: Camilla Cerea/Bloomberg
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A possible new force in Italian banking has begun to take shape, after regional lender Banco BPM SpA took a major stake in rival Banca Monte dei Paschi di Siena SpA.

Banco BPM on Wednesday snapped up 5% of its rival as the Italian government unloaded most of its remaining stake.