Banca Popolare di Milano

Banca Popolare di Milano, commonly abbreviated as BPM and historically known as Bipiemme, is an Italian banking institution rooted in Milan's cooperative-banking tradition. It was established in 1865 by Luigi Luzzatti, who later became Prime Minister of Italy, drawing on the cooperative credit principles associated with Hermann Schulze-Delitzsch in Germany. The institution was the second cooperative bank founded in Italy, after Banca Popolare di Lodi, and developed around the idea of providing accessible credit and banking services to members and customers in an urban economic setting. The bank expanded substantially during the second half of the twentieth century. Its growth involved interests in, and combinations with, a number of regional and specialist banking businesses, including Banca Popolare di Roma, Banca Briantea, Banca Agricola Milanese, Banca Popolare Cooperativa Vogherese, Banca Popolare di Bologna e Ferrara, Banca Popolare di Apricena, INA Banca, Cassa di Risparmio di Alessandria, Banca di Legnano and Banca Popolare di Mantova. This expansion broadened BPM's geographic reach beyond Milan while preserving a particularly strong presence in Lombardy. BPM developed a broad commercial-banking platform. Its activities included retail and corporate banking, private banking, branch-based deposits and lending, consumer credit, factoring, asset management relationships, insurance-related activities and digital banking. In 1999 it launched WeBank, an online-banking service that anticipated the growing importance of digitally delivered financial services. The bank also created ProFamily in 2010 as a specialist consumer-credit company and held or acquired interests in financial-services businesses such as Factorit and Bipiemme Vita. It also participated in the development of Anima through an alliance involving Anima SGR, Prima SGR, Monte dei Paschi di Siena and Clessidra SGR. Before the creation of Banco BPM, Banca Popolare di Milano was an independently listed company on the Milan Stock Exchange. At the end of 2016, it operated 656 branches and had a network concentrated in Lombardy, alongside branches or banking locations in several other Italian regions. Its activities also included private-banking and corporate-banking centres. The 2016 merger between BPM and Banco Popolare marked the decisive change in its corporate identity. The original BPM banking business was transferred into Banca Popolare di Mantova, which was renamed Banca Popolare di Milano S.p.A. on 1 January 2017. The renamed entity became a wholly owned subsidiary of the newly formed Banco BPM. After the merger, BPM was no longer an independently listed issuer. The parent Banco BPM became the listed group company, while Banca Popolare di Milano continued as a banking subsidiary and brand within the group. The post-merger network remained substantial, with 604 branches reported for the subsidiary, excluding Banca Akros, at the end of 2017. In its current form, BPM represents the continuation of the Milanese banking franchise within Banco BPM rather than a separately traded cooperative bank. Its positioning combines historic Milanese and Lombard banking roots with the products and infrastructure of a larger Italian banking group.

Banca Popolare di Milano was founded in Milan in 1865 by Luigi Luzzatti, an economist and politician who later served as Italy's prime minister. Its institutional model reflected the European cooperative-credit movement, particularly the credit associations developed by Hermann Schulze-Delitzsch in Germany. BPM was the second Italian cooperative bank, following Banca Popolare di Lodi, and was created to extend organized credit to an urban community through a member-oriented banking structure. The bank's original identity was closely tied to Milan and Lombardy, but its later development was marked by geographic and business expansion. From the 1950s onward, BPM acquired interests in or combined activities with numerous regional banks and financial institutions. These included Banca Popolare di Roma, Banca Briantea, Banca Agricola Milanese, Banca Popolare Cooperativa Vogherese, Banca Popolare di Bologna e Ferrara, Banca Popolare di Apricena, INA Banca, Cassa di Risparmio di Alessandria, Banca di Legnano and Banca Popolare di Mantova. The resulting organization operated well beyond its original Milanese base while retaining a particularly dense presence in Lombardy. BPM's activities developed into those of a diversified Italian banking group. In addition to conventional branch banking, it provided services for companies and affluent customers and established relationships with businesses in factoring, insurance, asset management and consumer finance. The launch of WeBank in 1999 gave BPM an online-banking channel. In 2010, the bank expanded its specialist-finance activities through the announced purchase of a 30% stake in Factorit and the creation of ProFamily, a consumer-credit company. During the same period, BPM participated in financial-sector transactions involving the sale of its custodian-bank activities, the purchase of an interest in Bipiemme Vita and an alliance intended to combine Anima SGR with Prima SGR. The resulting asset-management operator was Anima Holding. BPM was also exposed to the wider pressures affecting Italian and European banks during the financial crisis and the sovereign-debt concerns of the early 2010s. In May 2010 it publicly described its exposure to securities issued by Portugal, Italy, Ireland, Greece and Spain as limited. This disclosure illustrated the bank's effort to communicate its sovereign-debt position during a period of heightened market anxiety. The central institutional turning point came in 2016. Shareholders of BPM and Banco Popolare approved a merger intended to create Banco BPM. Under the transaction structure, the original BPM banking operations were transferred into Banca Popolare di Mantova. That legal entity was renamed Banca Popolare di Milano S.p.A. on 1 January 2017, allowing the BPM name and operating franchise to continue within the new group. The former cooperative bank itself ceased to be the separately listed parent of the business. Following the transaction, Banco BPM became the listed group company and Banca Popolare di Milano became its wholly owned subsidiary. At the end of 2016, before the merger, BPM reported 656 branches, with approximately 61% located in Lombardy and additional locations across a broad range of Italian regions. At the end of 2017, the post-merger subsidiary had 604 branches when Banca Akros was excluded. The modern BPM identity therefore combines a historic Milanese cooperative-bank heritage with the balance-sheet, governance and distribution structure of Banco BPM.

• 2017

  The current Banca Popolare di Milano S.p.A. begins operating within Banco BPM

  [1]Banca Popolare di Milanoen.wikipedia.org

  Banca Popolare di Mantova was renamed Banca Popolare di Milano S.p.A., becoming the legal vehicle for the continuing BPM banking business.

• 2016

  Merger with Banco Popolare is approved

  [1]Banca Popolare di Milanoen.wikipedia.org

  Shareholders approved the transaction that created Banco BPM and reorganized the BPM banking business as a subsidiary.

• 2010

  ProFamily is inaugurated

  [1]Banca Popolare di Milanoen.wikipedia.org

  BPM launched ProFamily, a company specializing in consumer credit.

• 1999

  WeBank online banking service launches

  [1]Banca Popolare di Milanoen.wikipedia.org

  BPM introduced WeBank as an online-banking service.

• 1865

  Banca Popolare di Milano is founded

  [1]Banca Popolare di Milanoen.wikipedia.org

  Luigi Luzzatti founded the Milanese cooperative bank, making it the second institution of its type in Italy.

A Milan-rooted Italian universal bank with cooperative origins, now operating as a Banco BPM subsidiary and serving retail customers, businesses and private-banking clients.

• Digital banking · 1999

  WeBank

  WeBank was BPM's online-banking service, launched in 1999. It extended the bank's offering beyond the physical branch network and represented an early digital channel for customers seeking remote access to banking services.

• Consumer credit · 2010

  ProFamily

  ProFamily was established as a specialist consumer-credit company after receiving regulatory authorization. Its creation gave BPM a dedicated platform for consumer-finance activities alongside its retail-banking business.

• Banking services

  Retail banking

  BPM's retail-banking activities included branch-based accounts, deposits, lending, payment services and personal finance for households. These services formed part of the bank's broad Italian universal-banking model.

• Banking services

  Corporate and private banking

  The bank operated corporate-banking and private-banking centres in addition to its general branch network. These activities addressed business financing, cash management and wealth-related needs for higher-value customers.

• Specialist finance · 2010

  Factoring services

  Through its interest in Factorit, BPM participated in factoring activities involving the advance and collection of trade receivables and related services for businesses.

• 2016

  Merge with Banco PopolareM&A

  Background

  The transaction was intended to combine the two Italian cooperative banking groups and create Banco BPM.

  Action taken

  Shareholders approved the merger, with the BPM banking operations structured to continue through Banca Popolare di Mantova, later renamed Banca Popolare di Milano S.p.A.

  Aftermath

  Banco BPM became the listed parent, while Banca Popolare di Milano operated as a wholly owned subsidiary. BPM was no longer separately listed.

  Source

• 2010

  Acquire a minority stake in FactoritM&A

  Background

  BPM sought to expand its presence in factoring and trade-receivables finance.

  Action taken

  The bank announced the acquisition of 30% of Factorit from Banco Popolare.

  Aftermath

  Factorit continued to be described as a factoring company also owned by Banca Popolare di Sondrio.

  Announced purchase price. €51 million (2010)

  Source

• 2010

  Launch ProFamilyStrategy

  Background

  BPM wanted a dedicated platform for consumer-credit activities.

  Action taken

  After regulatory authorization, BPM formally inaugurated ProFamily as a specialist consumer-credit company.

  Aftermath

  ProFamily became part of BPM's broader retail and specialist-finance offering.

  Source

1. 1Banca Popolare di Milanoen.wikipedia.org
2. 2Banca Popolare di Milano official pagebancobpm.it