Cerberus Capital Management proposed joining BFF Bank SpA through a fresh equity issuance, structured so its eventual stake remains under 30%, avoiding the threshold that would oblige a tender offer. The capital increase under discussion is about €300 million, and Cerberus would subscribe to a portion of that total. BFF's board reviewed the pitch on Thursday alongside other possibilities. Press offices for BFF, BPER, AMCO and Sella Group said they had no comment. Cerberus representatives did not provide an immediate response to a request for comment.
Alongside the Cerberus idea, BFF received a preliminary approach from BPER Banca SpA to buy its payments and depositary-bank operations. State-backed AMCO submitted a proposal focused on the factoring arm, while Sella Group separately flagged interest in the payments business. The indication from BPER would value BFF broadly in line with where the market has it today, and the bank's market capitalization was about €594 million on Friday.
AMCO has not set a specific price for the factoring unit. Last month, Bloomberg News said BFF was soliciting non-binding offers to assess interest and whittle down the field before more in-depth negotiations.
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BFF is working through the fallout from supervisory pressure on its loan book and capital position. Earlier this year, the Bank of Italy instructed the lender to review its approach to credit exposures, named two representatives to assist the board, and pressed for capital-boosting steps because, without action, the bank could face a potential shortfall in 2028. The menu includes raising equity and selling assets.
At the same time, BFF has been in discussions with investors - among them Pacific Investment Management Co. - to securitize roughly €1.2 billion of loans to release capital. That work is ongoing alongside discussions on a potential new shareholder or asset disposals. Whether the securitization goes ahead will hinge on BFF striking a deal to either bring in an investor or sell parts of the business.
Advisers plan to keep sorting through the expressions of interest ahead of a board meeting set for Sept. 25. The goal is to line up more detailed proposals for directors by then, which could set the stage for granting exclusivity to one party. For your wallet, this is one to watch: the outcome will shape how a midcap European lender shores up capital, which can ripple into funding costs, lending appetite, and the broader risk tone in Europe's bank stocks.
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