MILAN, Jan 28 (Reuters) - Italy's deposit protection fund (FITD) said on Wednesday it had agreed a 750-million-euro ($897,60 million) binding rescue plan for Oaktree-owned Banca Progetto, involving
Italy's Deposit Fund Approves €750 Million Rescue for Banca Progetto
Overview of Banca Progetto's Rescue Plan
MILAN, Jan 28 (Reuters) - Italy's deposit protection fund (FITD) said on Wednesday it had agreed a 750-million-euro ($897,60 million) binding rescue plan for Oaktree-owned Banca Progetto, involving the country's five biggest banks.
Details of the Financial Injection
Banca Progetto, a small digital bank focused on lending to small- and mid-sized Italian businesses, was put under special administration by the Bank of Italy last year to ensure adequate supervision of the bank's operations and restore sound and prudent management conditions.
Judicial Administration Context
The bank was also placed under judicial administration from October 2024 to July 2025 over alleged lending to a person arrested on mafia-related charges. The measure was revoked by an Italian court after the bank complied with the court's requirements.
Involvement of Other Lenders
Under the plan, FITD will become a shareholder in Banca Progetto by injecting 750 million euros. It will then sell part of its stake to a vehicle owned by Banca Monte dei Paschi di Siena, Banco BPM, BPER, Intesa Sanpaolo and UniCredit, while retaining up to 9.9% holding.
FITD and the five lenders will also take part in the de-risking of Banca Progetto's assets, backed by fund guarantees.
The fund said it expected to close the deal by March.
($1 = 0.8356 euros)
(Reporting by Gianluca Semeraro, editing by Alvise Armellini and Gavin Jones)
