Italy's Mediobanca trimming investments
Italian investment bank Mediobanca to sell stakes in Generali, others
MILAN (AP) -- The Italian investment bank Mediobanca says it will sell its stakes in insurer Assicurazioni Generali and other companies to focus on its core banking business.
Mediobanca is Italy's largest publicly traded investment bank and wields considerable influence in Italian dealmaking. Yet recently, investment losses have been weighing on earnings.
The bank said Friday that the new strategy aims to improve profits and simplify business.
Mediobanca is seeking to raise 1.5 billion euros ($1.98 billion) through the sales. It plans to reduce its 13 percent stake in Generali by 3 percent over three years, as well as selling stakes in Telecom Italia and RCS publishing house.
The bank also plans to write down 400 million euros in equities it plans to sell.
Mediobanca shares dropped 2 percent to 4.76 euros.
