ITALY: Consob announce short selling ban on Banca Monti Paschi shares

Tuesday January 12 2016

The Italian market watchdog Consob imposed a temporary short-selling ban on Italy’s third largest bank Monte dei Paschi di Siena for the entire trading session on 12 January 2016.

In a statement on Monday 11 January, Consob said the ban was in response to high volatility in the stock on 11 January, when record lows were recorded following investor concerns about capital levels and bad loans.

The ban was imposed pursuant to Article 23 of the EU regulation on short-selling, which comprises a threshold of 10%. This is an extension of the existing ban on naked short-selling for all equities from 01 Nov. 2012.

For more information, please see the link above: