Italian banking major UniCredit is planning to axe up to 12,000 jobs and sell assets as part of revised strategic plan to improve capital situation.
The strategic plan is expected to be unveiled by the bank’s CEO Federico Ghizzoni with the bank’s third-quarter results.
The move is expected to include the sale of UniCredit’s loss making Austrian retail operations.
According to media reports, an informal move to offload its loss making Austrian operation has not seen any interest and the management is now in talks to sell the business to Vienna-based lender Bawag.
In addition, the bank is also expected to weigh additional asset sales, including its remaining stake in its Polish-listed business and holdings in retail bank Fineco and investment manager Pioneer, the reports added.
The plan aims to reduce the bank’s cost-to-income ratio of nearly 80% in Germany as well as Austria.