UniCredit ups stake in Commerzbank to 21%

Italian lender UniCredit said on Monday it has increased its stake in Commerzbank to around 21 per cent, fuelling speculation that it could seek a takeover of its German rival.

The move effectively makes UniCredit the largest shareholder of Commerzbank ahead of the German state, which has shown no interest in allowing Germany’s second-largest bank to be bought.

UniCredit, which surprised markets 10 days ago by revealing a nine- per cent stake in Commerzbank, said pn Monday it took another 11.5 per cent through financial instruments.

Italy’s second biggest bank added that it has requested European Central Bank permission to raise its stake to 29.9 per cent.

The bank said in a statement that it had “full flexibility and optionality to either retain its shareholding, sell its participation... or increase the stake further”.

It would depend on the talks with Commerzbank, its management and supervisory boards, as well as with its wider stakeholders in Germany, it said.

Commerzbank did not immediately respond to a request for comment.

Last week, UniCredit boss Andrea Orcel ruled out a hostile takeover bid for Commerzbank, telling Italy’s Il Messaggero daily that such a move “would be an aggressive act”.

The German government said on Friday it had decided not to sell off any more of its Commerzbank shares “for the time being”.

UniCredit, which already owns Germany’s HypoVereinsbank, acquired half of its initial nine- per cent stake in Commerzbank from the German government and the rest on the open market.

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