Banco BPM says UniCredit’s takeover bid does not reflect its profitability

Italian lender Banco BPM The unexpected takeover bid from domestic rival was announced on Tuesday UniCredit does not reflect its profitability and could limit its legal autonomy.

The 10 billion euro ($10.52 billion) offer that UniCredit presented on Monday was not previously agreed and was made under “unusual” conditions, Banco BPM’s board of directors said in a statement translated by CNBC.

It also did not reflect Banco BPM’s profitability and potential for further value creation, the board added.

CNBC has contacted UniCredit for comment.

This latest news item is being updated.