Lodi Lodi’s discord

Banca Popolare di Lodi’s debt and equity investors aren’t singing from the same hymn-sheet. In spite of the huge risks the Italian bank has taken on bidding for its larger rival Antonveneta, Lodi’s shareholders have remained relatively relaxed. But it is now clear that its debt investors are more cautious. Having bought a near-30% stake in Antonveneta, Lodi is now bidding for the whole bank, which is over three times its size. To plump up its depleted capital ratios, it is trying to raise E1.5bn...