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Italy pushes back Poste stake sale to 2025, sources say

Italy will delay up until next year the sale of as much as a 14% stake in postal service Poste Italiane which was originally expected by early December, 3 people familiar with the matter told Reuters on Friday.

State-controlled Poste stated last month the approval of its share offering file by market guard dog Consob had been briefly suspended, pending choices regarding the timing and conditions of the sale by the government.

Asking not to be called, among the sources said there was no longer time to do the placement in 2024.

The Treasury and Poste both declined to comment.

When asked to clarify federal government plans, Economy Minister Giancarlo Giorgetti stated last month Rome would put right some small technical issues relating to the transaction, without elaborating.

As part of its drive to offer state possessions to check Italy's. enormous public debt, the federal government this year authorized a decree. permitting the Treasury to offer part of its 29.3% stake in the. postal service.

Rome plans to keep more than 50% of Poste in public hands. when considering likewise a 35% stake held through state lender. Cassa Depositi e Prestiti (CDP).

Poste is valued at more than 17 billion euros ($ 17.98. billion) at existing market prices, implying that the proposed. share sale is expected to cut Italy's financial obligation by 2.4 billion euros.

Prime Minister Giorgia Meloni's federal government has actually delayed the. providing for months, following resistance from ruling and. opposition celebrations as well as trade unions to planned loosening. of the state's grip on key civil services.

Initially the state had planned to minimize its stake to as. low as 35%.

Facing criticism from the opposition in parliament, Meloni. promised to focus on domestic savers in the general public offering,. ruling out the participation of big asset managers.

Because November in 2015, Rome has actually currently earned more than. 4 billion euros by selling 52.5% of bailed-out lending institution Monte dei. Paschi di Siena (MPS) and a 2.8% stake in energy group. Eni.

Despite the property disposals, the Treasury sees Italy's. public financial obligation increasing to nearly 138% of gdp in. 2026 from 134.8% in 2023, before partially declining from 2027.

(source: Reuters)