Italy’s largest insurer Generali and French banking group BPCE have officially scrapped their plan to merge their asset management divisions — a deal that would have created Europe’s largest asset manager by revenue.
The companies signed a non-binding agreement in January to combine Generali Investment Holding (GIH) with Natixis Investment Managers, but said on Thursday that the conditions required to finalize the transaction “are not currently present.”
🔹 Why the Deal Collapsed
The merger faced strong resistance from:
- The Italian government, citing concerns over national strategic interests under Italy’s golden power rules
- Two major Generali shareholders:
- Delfin (Del Vecchio family holding)
- Billionaire Francesco Gaetano Caltagirone
Both investors recently increased their influence over Generali after backing Banca Monte dei Paschi di Siena’s takeover of Mediobanca, the insurer’s largest shareholder.
Sources said critics feared the merger would reduce Italy’s control over the management of domestic household savings.
🔹 Strategic Positioning
Despite ending negotiations, both companies emphasized their continued commitment to building a competitive European financial industry with strong global champions.
Reuters had previously reported in October that the deal was likely to be abandoned.