The surprise move is the latest amid a wave of consolidation in the country’s banking industry in recent months and would create Italy’s third largest entity in the sector.

Mediobanca SpA is opposed to the takeover bid by rival Banca Monte dei Paschi di Siena SpA, according to a person familiar with the matter.

Italian bank Monte dei Paschi di Siena has announced it is launching a 13.3 billion euro takeover bid for larger peer Mediobanca in a surprise move that could reshape the country’s banking sector.