Illimity Finds Ifis' Bid Fair but Lacks Strategic Details
(Reuters) -The board of Italian digital bank illimity on Friday said a buyout bid launched by rival specialty lender Banca Ifis was "fair from a purely financial point of view" but was missing key details including a strategic outlook.
The 298 million-euro ($334 million) offer, made in January and expected to run between May 19 and June 27, includes newly issued Ifis shares and a cash component.
In a regulatory statement, the board said there were risks and uncertainties due to the lack of detailed information, making it more complicated to assess the offer's true value.
Illimity bemoaned the absence of a future business plan and of indications about the expected effects of the bid, including the synergies between the two banks and the impact on jobs, as well as Banca Ifis' prospects and its intentions to develop new business.
"(The lack of information) does not allow a complete and well-informed assessment of the value of the Banca Ifis shares offered in exchange," the statement said.
Illimity and its shareholders faced "risks and uncertainties in relation to the evaluation of the offer itself, in view of the lack of a concrete strategic outlook and the related financial, profitability and equity implications".
($1 = 0.8919 euros)
(Reporting by Laura Contemori; editing by Giulia Segreti and Kevin Liffey)
