UniCredit Plans Increased Commerzbank Stake Amid German Opposition

UniCredit CEO Andrea Orcel has announced plans to increase the bank's stake in Commerzbank to around 30% by the end of 2025, potentially triggering a formal takeover offer. Despite this, Commerzbank CEO Bettina Orlopp has firmly rejected the notion of a UniCredit acquisition, stating that the decision ultimately lies with Commerzbank's shareholders and emphasizing the importance of any deal creating value. UniCredit has steadily increased its voting rights in Commerzbank to about 26-29%, positioning itself as the largest private shareholder, while the German government, which holds a significant stake, opposes the takeover. Orlopp highlighted Commerzbank's strong recent performance and its commitment to independence, dismissing takeover speculation and reaffirming focus on implementing the bank's own strategy. The potential merger faces resistance from Commerzbank employees, management, labor unions, and the German government, which view the bank as a key pillar of the domestic economy. UniCredit continues to advocate for the benefits of a cross-border merger to create a stronger banking entity for Germany and Europe.