Monte Paschi’s (BMPS IM) board will reportedly discuss potential defences against Intesa’s (ISP IM) takeover bid on Thursday

• CEO is considering share-swap transactions as a possible means of blocking the takeover.

Contested bids in Italian banking have a long history, and the playbook available to a target board is well established: white-knight structures, asset disposals, defensive combinations with third parties, and share-swap arrangements designed to concentrate friendly holdings and dilute the bidder's path to control. The share-swap route specifically recalls past episodes in which Italian banks used cross-holdings and interlocking stakes as defensive architecture, a tradition that regulators have at times tolerated and at times pushed back on. The distinction worth drawing is between defences that genuinely block the bid and those that merely raise the price; hostile approaches in European banking have more often ended in negotiated, higher offers than in outright defeats, partly because capital and regulatory constraints limit how far boards can entrench. The key actors here carry form: BMPS has spent years as the sector's serial consolidation target and counterparty, and Italian authorities have historically taken an active interest in how domestic bank combinations resolve, making the political and regulatory read as important as the boardroom one. The Thursday meeting itself is the near-term tell, with the follow-ons being any formal defence mandate, treasury share usage, and whether the bidder responds by sweetening terms or extending the offer timetable. For the peer set, renewed consolidation talk in Italian banking has previously lifted perceived targets across the sector.