UniCredit increased its stake in Commerzbank by 7%, bringing its total share to 28% amid a controversial takeover attempt. The Italian bank confirmed plans to raise its holding to 29.9%, aligning with its takeover strategy.
In a statement, UniCredit revealed it had activated the formal regulatory approval process with the European Central Bank (ECB) to lift its direct stake from under 10% to nearly 30%. The bank submitted all necessary filings, starting a 60-day ECB review period, which could be extended by 30 days.
ECB Supports Cross-Border Banking Mergers
The ECB has expressed support for UniCredit’s potential full takeover of Commerzbank, aligning with its strategy to strengthen the European banking system. ECB President Christine Lagarde emphasized the importance of cross-border banking mergers in enhancing the competitiveness of European banks globally.
Lagarde noted that larger, more agile institutions resulting from such mergers could better compete with US and Chinese counterparts. The ECB sees the deal as a step toward unifying the single market and boosting the global standing of European banks.
UniCredit’s Strategic Stake-Building
UniCredit began building its stake in Commerzbank in September, sparking early speculation about a potential takeover bid. Currently, UniCredit holds a 9.5% direct stake and controls an additional 18.5% through derivatives, further solidifying its position in the German bank.
As regulatory review continues, the banking sector watches closely to see how this high-profile takeover unfolds. The deal, if approved, could reshape European banking by creating a more competitive cross-border entity.
