UniCredit plans to make bid for Commerzbank

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UniCredit SpA is preparing a rival multi-billion-euro bid to take control of Commerzbank AG, as Deutsche Bank is facing troubles with its move to buy the lender, the Financial Times reported on Thursday.

The Italian lender plans to buy a sizeable stake in Commerzbank and merge it with HypoVereinsbank, the German lender it already owns, the paper said, citing people familiar with the matter.

UniCredit declined to comment on the report, while Commerzbank said it had no comment.

The combined entity would be based in Germany while UniCredit would maintain its headquarters and listing in Milan, the report said.

Reuters reported in 2017 that UniCredit had told Berlin it was interested in eventually merging with Commerzbank, with the bank later denying having an interest in the German lender.

Germany's two top banks, Deutsche Bank and Commerzbank, said on March 17 that they were in talks to merge.

FT's report on UniCredit's interest in Commerzbank comes a day after it was reported that the two German lenders were divided over the pace of their merger talks.

Commerzbank would like to see a speedy decision on whether to deepen the discussions or not, while Deutsche Bank needs more time.

Commerzbank board is due to decide on April 9 whether to intensify merger talks with Deutsche Bank or back away from a deal, German business weekly Wirtschaftswoche said on Wednesday.

Source(s): Reuters