Italian financial services group Banco BPM is exploring strategic options for its merchant acquiring business, reported Reuters citing chief executive Giuseppe Castagna.
Banco BPM aims to boost profitability in its retailers’ payment business, Castagna told reporters on the sidelines of the Assiom-Forex conference in Milan.
For such businesses, known as merchant acquiring, the majority of Italian banks have looked for a partner and have sold all or a portion of their operations.
However, Banco BPM CEO indicated that outright disposal was not an option.
“What we certainly would not do is be selling future P&L (profit and loss) inflows to get cash upfront,” Castagna was quoted by the news agency as saying.
“Like with our other businesses, we’re looking for … a model that creates more value for the bank,” he added without elaborating.
In December, the Italian lender agreed to sell a 65% stake in its non-life insurance business to French peer Credit Agricole.