Unicredito/HVB: Is Profumo fair?

Alessandro Profumo has an impressive track record in M&A. In 2002, he integrated seven banks in one year. But with his E15.4bn offer for Germany’s HVB, the Unicredito chief executive is putting this hard-earned credibility on the line. For the deal to work, Profumo will need to reverse HVB’s repeated history of disappointment. The terms of the tie-up contain a cushion against further deterioration in HVB’s German real estate loanbook – the big worry for any acquirer. The five-for-one share offe...