Capitalia, Italian Bank Shares May Falter, Weighing on S&P/MIB

Oct. 6 (Bloomberg) -- Shares of Italian banks have become expensive after a takeover-driven rally this year and may fall as investors decide they aren't worth the price.

``The Italian market will lack one of its main drivers going forward,'' said Gian Paolo Rivano, who helps manage about $256 million at Gesti-Re in Milan. ``The industry has performed very well and many bank stocks already price in a speculative scenario of mergers and acquisitions.'' He sold bank shares including Sanpaolo IMI SpA and UniCredit SpA last month.