- Unicredit maintains control over nearly one-third of Commerzbank's shares
Unicredit, the Italian banking giant, has recently increased its stake in Commerzbank, Germany's second-largest lender, from around 20% to over 26%. This move, led by Unicredit's CEO, Andrea Orcel, has stirred controversy in Berlin and Frankfurt, with some viewing it as "unfriendly" and "hostile".
Orcel made these statements during a conference hosted by Bank of America. However, Unicredit has yet to issue an official statement about the consolidation of its stake in Commerzbank.
Commerzbank, a Frankfurt-based DAX company, currently has Unicredit as its largest single shareholder, ahead of the German state. Unicredit's 29% stake in Commerzbank, which it acquired after the federal government's partial exit last year, will be consolidated, according to Unicredit CEO Andrea Orcel.
The German federal government still holds slightly over 12% of Commerzbank's shares and has ruled out selling them. This means that if Unicredit were to exceed the 30% threshold, it would have to make an official takeover bid to other shareholders. Such a move is subject to established regulations.
However, there is currently no official announcement about a shareholding of over 30% in Commerzbank. Unicredit has recently converted some financial instruments into Commerzbank shares, increasing their direct stake somewhat, but this does not confirm a 30% stake announcement.
Commerzbank's CEO, Bettina Orlopp, expressed indifference towards Unicredit's recent moves during a conference. The bank is concerned that a merger could lead to significant job cuts and branch closures. Commerzbank requires a "very concrete proposal with numbers" before considering any action.
Unicredit sees opportunities for growth in a potential merger with Commerzbank, particularly in the business with private and SME customers. However, Orcel stated that they are not under pressure and can wait in regards to the takeover bid.
The actions of Unicredit come amidst criticism of the German federal government's actions in saving Commerzbank from collapse during the 2008/2009 financial crisis with taxpayer money. The bank will continue focusing on its own growth strategy until a proposal is presented.
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