Banca Akros: figures approved for the first half of 2014

Banca Akros: net profit of €9.6 million

THE BOARD OF DIRECTORS OF BANCA AKROS (BIPIEMME GROUP) APPROVED THE RESULTS FOR THE FIRST HALF OF 2014

 

  • Net interest and other banking income of €49.3 million (€48.5 million in the first half of 2013, +1.7%); Profit before tax of €19.1 million (€15.3 million in the first half of 2013, +24.9%); Net profit of €9.6 million (€7.6 million in the first half of 2013, +24.9%).
  • Common Equity Tier1 ratio as at 30 June 2014 was 13.9%.
  • The bank consolidated its position in market making and bond brokerage (ranking 2nd on behalf of third parties on EuroMOT, ranking 3rd on DomesticMOT and EuroTLX, ranking 1st on Hi-MTF), on the Electronic Stock Exchange (MTA) of the Borsa Italiana (ranking 4th) and in options on the FTSEMIB index (ranking 2nd). The Bank participated in the main share capital increase and listing operations carried out in the half-year on the Italian stock market. Assets under management exceeded €2 billion in total.

 

Milan, 30 July 2014 – The Board of Directors of Banca Akros – investment bank and private banking of the Banca Popolare di Milano Group, chaired by Graziano Tarantini and led by Chief Executive Officer Marco Turrina – approved the half-yearly financial statements as at 30 June 2014.

“The company’s management in the first half of 2014, which was geared towards the continuous development of the range of services and products offered to customers, control of the chosen markets and of the relative market shares with constant control of the risks taken, ensured the achievement of positive income results, up compared to the same period last year, with the confirmation of adequate capitalisation ratios and liquidity levels,” commented Chief Executive Officer Marco Turrina.

During the half-year, the Bank achieved a net interest and other banking income of approximately €49.3 million (+1.7% compared to the first half of 2013). Profit before tax amounted to approximately €19.1 million (+24.9%) and net profit to approximately €9.6 million (+24.9%).

As at 30 June, the Common Equity Tier 1 ratio was 13.9%, implementing the effects of the new Basel III regulations in force since 1 January 2014.

With regard to market making and trading activities:

  • The contribution of government bond, domestic bond and Eurobond business remained significant with approximately €25 billion of securities traded.
  • In line with the indications of the Group’s Business Plan, the implementation of the joint coverage project with the Parent Company continued in the Corporate & Investment Banking activities for Corporate customers, with special attention to the specific target represented by the Mid Corporate segment operating in the territory where the Group has its historical roots. Operations at the service of companies and institutional counterparties in instruments for hedging interest rate, exchange rate and commodity risks also remained central in this context.
  • In derivative trading on Italian equities and equity indices, the Bank confirmed its position as a reference operator in regulated markets, where it acts as a market maker on stock options and stock futures, and OTC.

In brokerage on behalf of third parties on regulated markets (Source: Assosim):

  • The Bank consolidated its presence in the bond markets, ranking 2nd among the operators active in the EuroMOT segment and 3rd in the DomesticMOT segment of the Borsa Italiana (with a market share of 23.2% and 13.1%, respectively). It ranked 3rd in the EuroTLX market (with a market share of 17%) and 1st in the Hi-MFT market (with a market share of 32.5%), also partly thanks to the contribution of SABE, the proprietary system for dynamic best execution research, in accordance with MiFID regulations.
  • The Bank ranked in 4th place on the Electronic Stock Exchange (MTA) of the Borsa Italiana (with a market share of 8.5%).
  • It also ranked 2nd in options on the FTSEMIB index and 1st in the IDEX energy derivatives market.

Equity brokerage on foreign markets relies on the activities of ESN – European Securities Network, the equity research and trading partnership set up by Banca Akros with eight other independent European investment banks active in their respective national equity markets. It should be noted that, in the special survey published in July, EXTEL-Thomson Reuters highlighted ESN for the best quality offered in roadshows in southern Europe, particularly thanks to the contribution of Banca Akros in Italy. The start of the cooperation agreement with the broker Peel Hunt is also noteworthy, for operations in the UK financial centre.

In the Equity Capital Market business, Banca Akros assisted the Parent Company as Joint-Global Coordinator, without guarantee, in the share capital increase for a total of €500 million, which was successfully concluded in May, and participated, as guarantor, in the share capital increase transactions of Banco Popolare, Banca Monte dei Paschi di Siena, Banca Carige and Credito Valtellinese, and as Co-Bookrunner, in that of Banca Popolare di Sondrio. The Bank took part, as guarantor and placing agent, in the public share offer operations aimed at listing the companies Cerved S.p.A. and Anima Holding S.p.A. on the Electronic Stock Exchange (MTA); for the latter, the Bank also acted as Co-Lead Manager in the related institutional placement. Banca Akros also assisted the company Notorious S.p.A. as Nominated Advisor, Global Coordinator and Specialist, in its listing on the AIM market of the Borsa Italiana. In July, Banca Akros took part, as guarantor and placing agent, in the public share offer aimed at listing FinecoBank S.pA. and Fincantieri S.p.A. on the Electronic Stock Exchange (MTA).

In the Debt Capital Market, Banca Akros participated, as the only Italian bank in the Management Group and as Lead Manager and Bookrunner, in the institutional issue of a five-year fixed-rate senior bond of the Parent Company successfully placed in January for the amount of €500 million, as well as in the placement of various issues of primary international institutional issuers including one of the European Investment Bank in which it acted as Joint-Lead Manager and Bookrunner. The Bank also participated, as Co-Lead Manager, in the placement of a 10-year senior bond issued by SIAS S.p.A. for an amount of €500 million.

In the advisory sector, Banca Akros acted, among other things, as financial advisor as well as broker in charge of coordinating the collection of subscriptions in relation to the takeover bid promoted on Meridiana S.p.A. and also acted as broker in charge of coordinating the collection of subscriptions in the takeover bid promoted on Aeroporto di Firenze S.p.A. and Società Aeroporto Toscano (S.A.T.) Galileo Galilei S.p.A.

In Private Banking activity, carried out directly at the Milan office and through the branches in Rome and Turin, focus was placed on the selected target of high net worth customers, also in line with the indications expressed in the Group’s Business Plan. In particular, there was continued development of the offer of specialised services in asset management, leveraging the recognised characteristics of personalisation in the service, in an “open architecture” context, and in the activities of administration, collection and execution of orders on domestic and international markets. This was also helped by the completion of the membership, during the previous year, of the Allfunds Bank S.A. platform, which provides access to a wide selection of investment funds managed by many international asset management operators. In this context, assets under management increased to more than €2 billion at the end of the first half of the year (approximately +2%).

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Banca Akros S.p.A.
Reclassified income statement H1 2014 H1 2013 Changes
(€/million, rounded) in value in %
Net interest and other banking income 49.3 48.5 0.8 +1.7%
Profit before tax 19.1 15.3 3.8 +24.9%
Net profit 9.6 7.6 2.0 +24.9%

 

 

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Banca Akros, investment bank and private banking of the Banca Popolare di Milano Group, has well-established domestic operations complemented by the development of activities on the main international markets and offers products and services with high quality standards, with it also belonging to one of Italy’s leading banking groups.

 

Investee companies

 

ESN – European Securities Network LLP – London

Banca Akros is one of the founding institutions of ESN (European Securities Network LLP), the company jointly owned by 9 leading European banks and brokers, active in the trading and production with common standards of financial studies and analyses, strongly characterised by independence, on approximately 700 European equities. ESN is a multi-local partnership with around 100 analysts and 150 sales and traders dedicated to European equity markets.

 

GSN North America Inc. – New York

In the USA, Banca Akros also operates through GSN North America Inc., formerly ESN North America Inc., of which it owns approximately 12%, a broker-dealer based in New York and member of the National Association of Securities Dealers Inc. (NASD); this allows, among other things, operations on the NASDAQ and NYSE. GSN North America’s business is aimed at American institutional customers to whom it offers investment ideas on European equities using the research of ESN’s partners and at European institutional customers to whom it offers an efficient order execution service on American equity markets. The other shareholders of GSN North America are France’s CM-CIC Securities (85%) and Spain’s BEKA Finance (3%).

 

Group S.r.l. – Milan

Group S.r.l. is the company, 12.5% owned by Banca Akros, which studies markets and provides services to its shareholders (eight leading Italian banking groups), with a view to their participation in corporate financing and/or the placement of financial instruments (shares and bonds) to the public. Group members have a distribution network of more than 7,000 bank branches.

 

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Contact details

Banca Akros S.p.A.

Gianluca Verzelli – Communications Department

Milan: Viale Eginardo 29, 20149 – Tel +39 02 4344 41 – Fax +39 02 4344 4300

Rome: Via Gregoriana 34, 00187 – Tel +39 06 4544 0746

Turin: Corso Galileo Ferraris 31, 10121 – Tel +39 011 1970 4715

www.bancaakros.it

 

Weber Shandwick | Advisory

Giorgio Catalano/ Enrica Borrelli

Tel: +39 02 0064111/1101

Mobile: +39 334 6969275

gcatalano@advisorywebershandwick.it/eborrelli@advisorywebershandwick.it

 

 

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