By Valentina Za

MILAN, (Reuters) – Italy’s No. According to two sources, UniCredit 2, a bank in Italy has sought expressions from potential investors for its leasing company to assess market demand for the unit and weigh a sale.

According to one source, UniCredit was trying to get investors’ valuations of its unit and portfolio of assets. However, no sale decision has been made and may never happen.

UniCredit’s representative declined to comment.

According to data from Assilea industry association, UniCredit Leasing was sixth in Italy for 2020. It signed 3,833 contracts worth 801.7 million Euros ($932 Million).

Assilea reports that UniCredit Leasing holds a roughly 7% market share in Italy’s largest leasing firm, when we look at all existing contracts.

The group has about 10 billion euros worth of credits for the unit. Of these, around 1 billion euros is non-performing, or 0.5 million euros net of writedowns.

UniCredit looked into the possibility of selling its leasing business. The company reported a profit in excess of 20 million euros during the first half.

UniCredit has a brand new plan under the leadership of Andrea Orcel (CEO), who assumed control in April.

Orcel was the former UBS head of investment banking. His predecessor’s focus on risk reduction meant that Orcel promised to raise revenues and increase profits.

Jean Pierre Mustier, the former CEO of UniCredit, restructured UniCredit’s balance sheet and replenished it capital reserves. UniCredit sold nearly 15 billion euros worth assets in his four-year tenure.

Protracted negotiations with Italy’s Treasury over the purchase of “selected portions” from its state-owned rival Monte dei Paschi di Siena have impeded progress on the plan.