Will UniCredito take over Bank BPH by default?

UniCredito Italiano is the second biggest bank on the Italian market with a market share of 10% and EUR 26.4 billion capital. It is also the major shareholder of Polish Pekao Bank. HVB Bank is likewise the second biggest bank on the German market with a 4% market share and EUR 15.1 billion in capital, and in turn it controls Bank BPH. According to the Wall Street Journal source, the reason behind UniCredito's take over attempt, is its aim of consolidating its position both on the German and the rapidly growing Eastern European markets. As the news broke, Pekao shares rose on Friday by 5.4% reaching zł.137 each, whereas BPH shares went up by 7.7% reaching zł.521 per share. It is not yet certain whether the Banking Supervisory Commission (KNB) would consent to the consolidation of BPH and Pekao through their parent companies, but if it does, such an entity would become Poland's biggest bank. Pekao is now the second biggest with zł.60 billion in assets, whereas BPH is the third player with zł.52 billion in assets. (Parkiet, May 28-29, p. 2; Rzeczpospolita, May 28-29, p. B1; Gazeta Wyborcza, May 28-29, p. 29) M.G.