(Alliance News) - Europe's major stock exchanges open lower on Monday as SVB's collapse continues to send shockwaves through the financial and technology sectors, with banking stocks once again finding themselves at the bottom of Italy's main listings this morning.

As a result, the FTSE Mib is down 2.0 percent to 26,739.84. Among the smaller lists, the Mid-Cap is down 2.0 percent to 42,888.46, the Small-Cap gives up 1.1 percent to 29,834.11, and Italy Growth is in the red 0.8 percent to 9,360.61.

Paris' CAC 40 is down 0.7 percent, London's FTSE 100 is giving up 0.9 percent and Frankfurt's DAX 40 is in the red by 0.6 percent.

"Investors are waiting with bated breath to see if this rush of regulatory activity to try to limit the fallout from the SVB bank collapse will help calm volatile markets, and so far the bold action seems to be working," commented Susannah Streeter, head of money and markets at Hargreaves Lansdown.

In the U.K., after a series of bids from smaller banks, "HSBC has agreed to snap up the beleaguered U.K. arm of SVB, which should end the nightmare that thousands of tech companies have experienced in recent days. HSBC shareholders may have some concerns about the bank acquiring assets that have been under such a cloud of uncertainty, particularly exposure to bonds, but HSBC says it expects a gain from the acquisition. This will be warmly welcomed by the government as the looming crisis threatened to overshadow Budget Day, as a big bailout of the tech sector would not have been a good idea when millions of people have been told there is little extra money to ease the cost of living crisis."

Only Leonardo is saved on the Mib, the only stock in the green up 2.5 percent. Bankers finish at the bottom with BPER Banca in the red by 4.5 percent, Banco BPM and Intesa Sanpaolo down 3.7 percent and 3.3 percent. FinecoBank also hurt in the red by 3.2%.

FinecoBank announced Friday that it has received from the Single Resolution Board and the Bank of Italy the updated decision on the determination of the minimum requirement of own funds and eligible liabilities, which replaces the previous decision communicated in August 2021.

As of January 1, 2024, FinecoBank will have to comply on a consolidated basis with an MREL requirement of 18.91% of TREA - 21.45% inclusive of the Combined Buffer Requirement and equal to 5.25% of the LRE, ensuring a linear increase in own funds and eligible liabilities to achieve the requirements.

Nexi - down 2.9 percent - announced Friday that it purchased 167,561 common shares between March 3 and March 9, 2023.

The shares were taken over at an average piece of EUR7.7696 for a total of EUR1.3 million.

Poste Italiane--which retreats 1.9 percent--announced Friday a strategic partnership with Deutsche Post DHL Group for the Italian and international parcel market.

On the Mid-Cap the last positions are all banking stocks. Banca Popolare di Sondrio gives up 4.9%, Banca Monte dei Paschi di Siena is 4.5% in the red while Credito Emiliano is down 3.8%. On Friday it announced that it and Credemholding have signed the new EUR5 billion EMTN program.

Issues under the program will also be able to be issued in ESG format according to Credem Group's Green, Social and Sustainability Bond Framework.

Datalogic's consolidated revenues - in the red by 1.8 percent - rose 9.5 percent in 2022, the company disclosed Thursday, hitting EUR654.6 million compared to EUR597.8 million realized as of Dec. 31, 2021; at constant exchange rates, revenues are up 4.4 percent.

Among the few bullish performers were Juventus FC, LU-VE and Industrie De Nora, with gains between 0.9% and 0.2%.

On the Small, LVenture Group flies to the top with a rise of 8.0% after announcing, together with Digital Magics - up 1.5% on Italy Growth - that it has mandated LVG CEO Luigi Capello and DM executive chairman Marco Gay to sign a non-binding term-sheet dealing with the integration of the two companies, which is expected to be achieved through a merger by incorporation of DM into LVG.

Tesmec's board of directors -- down 5.0 percent -- on Friday approved the draft operating and consolidated financial statements 2022 reporting revenues of EUR245.2 million up from EUR194.3 million in 2021.

Net income amounts to EUR7.9 million up sharply from the EUR1.2 million recorded in 2021.

Ebitda for 2022 turns out to be EUR35.2 million improving from EUR28.1 million in the previous year.

Caltagirone's board of directors on Friday reviewed and approved the draft financial statements for the year ending Dec. 31, 2022 reporting revenues up 23 percent as they rose to EUR1.99 billion from EUR1.62 billion. The board also proposed a dividend of EUR0.15 up from EUR0.10 in 2021.

The stock opens up 1.3 percent.

Among SMEs, Masi Agricola opens up 0.8 percent after reporting Friday that it saw double-digit growth in 2022 revenues but that net income fell year-on-year, leading the board to reduce the dividend from the one it paid last year.

The company's net income dropped to EUR4.5 million in 2022 from EUR5.4 million in 2021, and the board proposed to shareholders to distribute a dividend of EUR0.06 per share compared to EUR0.08 per share in the previous year.

Technoprobe gives up 1.6 percent after reporting, with reference to the events surrounding Silicon Valley Bank Financial Group, that its exposure to SVB Financial Group represents about 2.5 percent of the company's cash and cash equivalents as of Dec. 31, 2022.

Technoprobe has no other current accounts or lines of credit with SVB Financial Group and therefore considers the exposure immaterial.

Illa is stuck over volatility at minus 48 percent after reporting that shareholder NOI Srl has challenged all resolutions of the Feb. 22 shareholders' meeting, whereby shareholders decided to give the go-ahead for approval of a EUR21.0 million convertible bond reserved for Negma Group Investment Ltd.

The shareholders had also rejected proposals by some shareholders to instruct the board of directors not to implement the remaining tranche of the POC cum warrant for EUR3.3 million plus EUR975,000 to service the conversion of the warrants associated with the bonds free of charge, and to bring liability action against all seven members of the board of directors, with their removal and subsequent appointment of the new board.

Sciuker Frames reported that it has entered into a partnership with Deutsche Bank Easy that allows for the invoice discount to be replaced without any impact on customers.

Under a new Decree-Law, customers are not allowed to request the invoice discount as a payment method for 50 percent of the invoice; therefore, for all new orders, the customer would be left with the only option of paying the entire invoice and then using the related credit generated over 10 years, deducting it from their annual fee amount paid.

Among Asian exchanges, the Nikkei closed down 1.1 percent, the Shanghai Composite up 1.2 percent while the Hang Seng closed in the green 2.0 percent.

In New York on European night, the Dow closed down 1.1 percent, the Nasdaq down 1.8 percent, and the S&P 500 contracted 1.5 percent.

Among currencies, the euro changed hands at USD1.0710 versus USD1.0658 at Friday's close. In contrast, the pound is worth USD1.2092 from USD1.2045 on Friday evening.

Among commodities, Brent crude is worth USD83.08 per barrel versus USD81.92 per barrel Friday night. Gold, meanwhile, trades at USD1,878.38 an ounce from USD1,856.97 an ounce at Friday's close.

Monday's economic calendar, at 1100 CET, the Eurogroup meeting will be held while at 1500 CET, three-, six- and 12-month BTF auctions will be held in France.

At 1600 CET, from the U.S. will come consumer inflation expectations and auctions of three- and six-month Treasury bills will be held.

On the Italian corporate front, the results of several listed companies including Assicurazioni Generali, Avio, CIR, Tod's and De' Longhi are expected.

By Chiara Bruschi, Alliance News reporter

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