Commerzbank and UniCredit hold talks as takeover prospect looms
Commerzbank and UniCredit began initial talks Friday, with the German bank on the defensive over a potential takeover after its Italian counterpart unexpectedly increased its stake earlier this month.
The discussions, which included incoming Commerzbank Chief Executive Bettina Orlopp, were held over Zoom and ended early afternoon local time on Friday, Reuters reported, though no outcome was immediately apparent.
Orlopp on Thursday said the two banks would "exchange views" Friday, Reuters reported. Speaking at a financial conference, Orlopp said the German bank was open minded, but that the speed of synergies and risks needed to be considered.
UniCredit earlier this month took a 9% stake in Commerzbank, before looking to boost it to 21% earlier this week and putting in a request to hold as much as a 29.9% stake in the German bank, hinting at a potential takeover bid. The action took the German government, which also owns a stake in the bank, and the management of Commerzbank by surprise.
Orlopp said Thursday she would not get involved with "crazy" sell-downs or "stupid things," according to Reuters.
A 10-year veteran of Commerzbank, Orlopp was announced Tuesday as the incoming CEO, replacing Manfred Knof who is set to leave the bank at the end of this month.
Her comments on Thursday came as the bank's board of managing directors and supervisory board unanimously said they supported Commerzbank's current strategy at an annual meeting. Germany's second-largest lender said in a Thursday statement that the implementation of its strategy plans until 2027 was "progressing rapidly."
"Commerzbank is continuously expanding its independent position as a strong pillar in the German banking market and a reliable partner to the domestic