Italy's MPS says question marks remain over higher Intesa bid

MILAN, Oct 12 (Reuters) — Italian bank Monte dei Paschi di Siena (MPS) on Monday said suitor Intesa Sanpaolo's sweetened takeover offer leaves MPS investors exposed to several uncertainties, while forcing them to ditch a possible alternative plan. Intesa on October 3 pledged to pay MPS shareholders a further €800 million ($892 million) in cash provided they reject a counter-plan MPS has proposed to fight Intesa's €34 billion cash-and-share takeover bid. MPS CEO Luigi Lovaglio had been asking investors to back the counter plan at an October 29 vote, even if they intended to later take up Intesa's offer. Following Intesa's ultimatum, leading MPS investors holding in aggregate a third of the bank's capital have said they will reject the defence plan and accept Intesa's bid. Their stance makes it impossible for Lovaglio to reach the two-thirds majority he needs to prevail at the October 29 vote. The board of MPS met on Monday to discuss the latest developments. MPS said Intesa was asking MPS shareholders to give up an alternative plan though there was no certainty that the bid would unfold as expected and produce the targeted returns. "MPS board and its management will continue to work