The cost of acquiring the entire 29.9 per cent share in Banca Antonveneta’s capital was estimated at around € billion, while the new capital resources that were the subject of the two applications for authorization amounted to € million, later raised to € million. At the end of the transaction the bank’s capital ratio would stand at 10.3 per cent.
The clear and universal expectation among regulators is that firms should not reference LIBOR in new contracts beyond 31 December 2021. [3] To do so would be a material risk for an institution's operations, which is why it is such a critical focus of regulators globally. So moving to robust alternative reference rates is imperative for new contracts.