Azione MPS, the Association of Small Individual Shareholders and member of CONAPA, sent out a letter today addressed to the Public Authorities of the European Union and of the Italian Republic. The letter points to the main contradictions at the heart of the forced state intervention in the listed company Banca Monte dei Paschi di Siena (precautionary recapitalisation with burden sharing) that goes against the rules and principles of Commercial Law as well as the policies pursued by the European Commission towards the creation of the Single Capital Market and which will mainly cause detriment to over 150,000 Small Shareholders who collectively own more than 55% of the Company.
On 31 March 2016, MPS had announced it would break-even, without even counting the € 500 million income related to the sale of its "Credit Cards" division to ICBPI. Existing shareholders, owners of a certified net equity of about 6 billion resulting from recent capital increases, are penalised as a devaluation of over 90% of the value is imposed on them, which is further halved by an unjustified dilution in favour of the State. Moreover, as finally acknowledged by the Supervisory Authority at the end of March, Monte dei Paschi continues to meet the prudential capital requirements.