UniCredit Banca Mediocredito

UniCredit Banca Mediocredito S.p.A. was an Italian commercial bank within the UniCredit Group. Its institutional predecessor was Mediocredito Piemontese, a public-law medium-term credit institution associated with the Piedmont banking system. The bank operated in the area of medium- and long-term corporate finance and related specialized lending rather than as a broad consumer banking franchise. The institution was transformed into a joint-stock company in 1992 following the implementation of Italy's Amato banking reforms. By that period it was already connected to Cassa di Risparmio di Torino, commonly known as Banca CRT, while Banca Popolare di Novara also held a minority interest. During the 1990s, the institution adopted the name Banca Mediocredito and became part of the broader consolidation that created UniCredit. In 1997 it followed its parent into Unicredito; in 1998 Unicredito merged with Credito Italiano, creating the group that became UniCredito Italiano and subsequently UniCredit. UniCredit progressively increased its ownership during the early 2000s. It acquired shares from Banca Popolare di Novara in 2001 and purchased minority holdings from several Italian banking institutions in 2002. The group's direct ownership reached 92.23% at the end of 2002, with further acquisitions reported in 2004 and 2005. In 2003 the bank was renamed UniCredit Banca Mediocredito, aligning its identity with the parent group's expanding brand architecture. A major restructuring took place on 31 December 2005. The operating activities of the bank were distributed among specialized UniCredit companies: medium- and long-term financing and special loans were transferred to UniCredit Banca d'Impresa; project-finance activities moved to UniCredit Infrastrutture; real-estate operations moved to UniCredit Real Estate; information-technology functions moved to UniCredit Sistemi Informativi; and centralized back-office activities moved to UniCredit Produzioni Accentrate. The legal entity retained its banking license despite losing its former operating business. Following this restructuring, the residual entity became associated with 2S Banca and securities-services activities. The 2S Banca business was sold on 4 October 2006 to Société Générale Security Services, a subsidiary of Société Générale, for €579.3 million. UniCredit Banca Mediocredito itself was ultimately dismantled on 31 December 2015, while the retained banking license became the basis for 2S Banca, a company specializing in securities-service activities. The brand is therefore historical and no longer represents an independently operating commercial bank.

UniCredit Banca Mediocredito developed from Mediocredito Piemontese, an Italian medium-term credit institution established as a statutory public-law corporation. Its early role was tied to the provision of medium-term financing rather than the full range of retail banking services. The institution later became part of the consolidation of Italy's banking sector and was ultimately absorbed into the UniCredit organizational structure. Italy's Amato banking reforms led to the conversion of the bank into a società per azioni, or joint-stock company, in 1992. At that time, the bank was already a subsidiary of Cassa di Risparmio di Torino, known as Banca CRT. Banca Popolare di Novara also held a significant minority stake, reported at 32.85% in 1990, although that holding was reduced to 10% by the end of 2000. During the 1990s, the institution was renamed Banca Mediocredito. In 1997, Banca Mediocredito followed Banca CRT into Unicredito. The 1998 merger between Unicredito and Credito Italiano created UniCredito Italiano, the group that later became UniCredit. At the end of 2000, Banca CRT held 63.26% of Banca Mediocredito and Cariverona held a further 0.20%, giving the UniCredit group effective control despite small minority interests. UniCredit increased its ownership through a series of transactions. In 2001 it acquired an additional 10% from Banca Popolare di Novara and another 0.63% from other shareholders. In 2002 it purchased minority interests from Cassa di Risparmio di Biella e Vercelli, Banca Lombarda e Piemontese, Banca Carige, Sanpaolo IMI, Banca Intesa, Cassa di Risparmio di Savona, Carispezia, and other institutions. These purchases, together with the absorption of Banca CRT and Cariverona into UniCredit, brought direct ownership to 92.23% at the end of 2002. Further share acquisitions were reported in 2004 and 2005. The corporate identity was brought into line with the parent group in 2003, when Banca Mediocredito became UniCredit Banca Mediocredito. The name reflected its position as a UniCredit-controlled institution specializing in medium-term credit and related business finance. The most consequential change came on 31 December 2005, when the bank's operating activities were redistributed across specialized group companies. Medium- and long-term financing and special loans were transferred to UniCredit Banca d'Impresa. Project finance was transferred to UniCredit Infrastrutture, real-estate activities to UniCredit Real Estate, information technology to UniCredit Sistemi Informativi, and centralized back-office work to UniCredit Produzioni Accentrate. The legal entity was not immediately dissolved because its banking license was retained. The residual structure became associated with 2S Banca and securities-service operations. On 4 October 2006, 2S Banca was sold to Société Générale Security Services, a Société Générale subsidiary, for €579.3 million. UniCredit Banca Mediocredito was eventually dismantled on 31 December 2015. The retained license became the basis for 2S Banca, which specialized in securities services. The institution therefore ended as an operating commercial-bank brand through internal restructuring and legal reorganization rather than through a publicly described bankruptcy or scandal.

• 2015

  Dismantling of the bank

  [1]UniCredit Banca Mediocreditoen.wikipedia.org

  UniCredit Banca Mediocredito was dismantled on 31 December, while its banking license was retained for the 2S Banca structure.

• 2006

  Sale of 2S Banca

  [1]UniCredit Banca Mediocreditoen.wikipedia.org

  2S Banca was sold to Société Générale Security Services for €579.3 million.

• 2005

  Transfer of operating activities

  [1]UniCredit Banca Mediocreditoen.wikipedia.org

  The bank's financing, project-finance, real-estate, information-technology, and back-office operations were transferred to specialized UniCredit companies.

• 2003

  Renaming as UniCredit Banca Mediocredito

  [1]UniCredit Banca Mediocreditoen.wikipedia.org

  Banca Mediocredito adopted the UniCredit Banca Mediocredito name as part of the group's brand alignment.

• 2002

  Acquisition of minority interests

  [1]UniCredit Banca Mediocreditoen.wikipedia.org

  UniCredit purchased minority holdings from several Italian banking institutions, bringing its direct ownership to 92.23% at year-end.

• 2001

  Increase in UniCredit ownership

  [1]UniCredit Banca Mediocreditoen.wikipedia.org

  UniCredit acquired additional shares from Banca Popolare di Novara and other shareholders.

• 1998

  Creation of UniCredito Italiano

  [1]UniCredit Banca Mediocreditoen.wikipedia.org

  Unicredito merged with Credito Italiano, creating UniCredito Italiano, the predecessor of the modern UniCredit group.

• 1997

  Entry into Unicredito

  [1]UniCredit Banca Mediocreditoen.wikipedia.org

  Banca Mediocredito followed its parent, Banca CRT, into the Unicredito group.

• 1992

  Conversion into a joint-stock company

  [1]UniCredit Banca Mediocreditoen.wikipedia.org

  Mediocredito Piemontese was converted from a statutory public-law corporation into a società per azioni following Italy's Amato banking reforms.

A specialist Italian banking institution centered on medium-term credit, corporate finance, and other forms of structured or specialized lending within the UniCredit Group.

• Corporate lending

  Medium-term corporate loans

  Medium-term credit was the institution's defining business area. The bank served the financing needs of businesses through loans with maturities longer than ordinary working-capital facilities, placing it within Italy's specialized medium-term credit-banking tradition. The operating business was later transferred to UniCredit Banca d'Impresa as part of the 2005 restructuring.

• Corporate finance

  Long-term financing

  Long-term financing formed part of the bank's specialized business-finance activities. These activities were moved to UniCredit Banca d'Impresa during the reorganization completed on 31 December 2005, after which UniCredit Banca Mediocredito no longer operated as a conventional lending platform.

• Specialized lending

  Special loans

  Special loans were among the financing activities associated with the bank before its operating functions were redistributed within UniCredit. The available reference material identifies this business category but does not provide a detailed product catalogue or specific sector breakdown.

• Structured finance

  Project finance

  Project-finance activities were part of the broader specialist-finance scope connected with the institution. They were transferred to UniCredit Infrastrutture in the 2005 restructuring, separating this activity from the residual legal entity.

• Securities services

  Securities services

  After the operating bank was restructured, the retained-license structure became associated with 2S Banca, a company specializing in securities-service activities. That business was sold to Société Générale Security Services in 2006.

• 2015

  Dismantling of UniCredit Banca MediocreditoStrategy

  Background

  The bank had already transferred its operating businesses to other UniCredit companies and retained primarily its legal and licensing framework.

  Action taken

  UniCredit Banca Mediocredito was dismantled on 31 December 2015, while the banking license was retained and became associated with 2S Banca.

  Aftermath

  The UniCredit Banca Mediocredito brand ceased to represent an operating commercial bank.

  Source

• 2006

  Sale of 2S Banca to Société Générale Security ServicesM&A

  Background

  Following the transfer of UniCredit Banca Mediocredito's former operating businesses, the residual 2S Banca structure focused on securities-service activities.

  Action taken

  UniCredit sold 2S Banca to Société Générale Security Services on 4 October 2006.

  Aftermath

  The transaction transferred the securities-services business to Société Générale's group, while the UniCredit-related legal and licensing structure was subsequently associated with the dismantled bank.

  Sale price. €579.3 million (4 October 2006)

  Source

• 2005

  Distribute operating activities across specialized group companiesStrategy

  Background

  UniCredit Banca Mediocredito was reorganized as part of the group's effort to place different financing and support functions in dedicated entities.

  Action taken

  On 31 December 2005, medium- and long-term financing and special loans were transferred to UniCredit Banca d'Impresa; project finance to UniCredit Infrastrutture; real estate to UniCredit Real Estate; information technology to UniCredit Sistemi Informativi; and back-office operations to UniCredit Produzioni Accentrate.

  Aftermath

  The bank ceased to function as a fully operating commercial institution but retained its banking license and continued in a residual legal structure.

  Source

• 2015

  UniCredit Banca Mediocredito dismantled[1]UniCredit Banca Mediocreditoen.wikipedia.org

  Other

  The bank was dismantled on 31 December 2015 after its operating activities had been transferred to other UniCredit entities. Its banking license was retained and became associated with 2S Banca.

• 2006

  2S Banca sold to Société Générale Security Services[1]UniCredit Banca Mediocreditoen.wikipedia.org

  M&A

  The 2S Banca business associated with the residual banking entity was sold to Société Générale Security Services, a Société Générale subsidiary, for €579.3 million.

1. 1UniCredit Banca Mediocreditoen.wikipedia.org