Tag: $Commerzbank

Commerzbank (CBKG.DE), plans to cut 3,000 jobs to help it reach ​more ambitious profit targets as part of a strategy to fend off a takeover by Italy’s UniCredit (CRDI.MI), the German bank ‌said on Friday.

 Italy’s UniCredit, on Tuesday launched a bid to ‌raise its stake in Commerzbank, despite firm German opposition, as income derived from its holding in the rival contributed to record quarterly earnings.

UniCredit has unveiled plans for a far-reaching shake-up of takeover target Commerzbank with the intention of transforming the German lender for a “new future-ready era.”

UniCredit (CRDI) is weighing three options to potentially sweeten its all-share takeover ​offer for Commerzbank (CBKG), Italian daily Il Messaggero reported on Sunday ‌without citing sources.

UniCredit has launched an offer to build its stake in Commerzbank above 30%, a key regulatory threshold if the lender is to launch a full takeover bid.

Germany’s Commerzbank said on Friday that it posted a 20% increase in net profit in 2024, announcing earnings nearly two weeks ahead of schedule as it fends off interest in a tie-up from Italy’s UniCredit.

UniCredit announced on Monday it had increased its stake in German lender Commerzbank
to around 21% and submitted a request to boost the holding to up to 29.9%.

Commerzbank and UniCredit shares extended gains on Thursday after the Italian bank’s CEO Andrea Orcel laid out plans to buy more of its German rival or even take it over, fuelling speculation about further dealmaking in the region.

Italy’s UniCredit said on Wednesday it had acquired a 9% stake in Commerzbank and will seek approval to potentially buy more, in a move that raised the prospect of CEO Andrea Orcel preparing to take over the German lender.

The two German lenders abandoned a merger plan in 2019, but concerns about bank profitability, and reports that the German government’s is considering selling some of its company stakes, have rekindled whispers about a possible tie-up in recent weeks.

 Five years after Deutsche Bank and Commerzbank aborted an attempt to merge, an uncertain outlook for bank profitability and Germany’s need to plug a hole in its budget have rekindled speculation about a potential deal.