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Commerzbank Urges Shareholders to Reject UniCredit Offer

The bank calls the plan undervalued with risks to serving Germany’s export‑driven small and mid‑size firms.

Overview

  • Commerzbank’s board, which on Monday urged holders to reject UniCredit’s share‑swap bid, said the proposal lacks an adequate premium for the bank’s value.
  • Leaders in Frankfurt argued UniCredit understates likely revenue losses, inflates cost savings, and sets an unrealistic timeline that would strain IT integration and planned job cuts.
  • The bank warned that shrinking its overseas branches would weaken support for the Mittelstand, the network of German small and mid‑size exporters that rely on Commerzbank’s global reach.
  • UniCredit said it strongly disagrees with the claims and will issue a detailed reply, as its reported potential exposure to Commerzbank reached 38.87% through shares, swaps, and cash‑settled derivatives.
  • Commerzbank noted its stock has closed above the offer’s implied value since the bid was announced, and cited independent analyst targets near €41.50 versus a recent price around €36.