Berlin Presses UniCredit for Firm Commitments on Commerzbank
Berlin expects UniCredit to commit to jobs, Germany as a business location and Commerzbank's role financing mid-sized firms, government sources say.
The German government is pressing UniCredit to spell out firm commitments on jobs and on Germany as a business location, government sources said, as the Italian lender edges closer to taking control of Commerzbank.
Berlin holds a 13.3% stake in Commerzbank and wants to safeguard the bank's position as a key financier of Germany's small and medium-sized enterprises. UniCredit has already secured close to half of Commerzbank's share capital — a level that would give it effective control over shareholder votes once it obtains supervisory clearance to hold the shares.
Finance Minister Lars Klingbeil and UniCredit chief executive Andrea Orcel met in September to discuss the takeover plans. Both sides described the meeting as constructive.
According to the sources, Klingbeil's conditions include keeping Commerzbank listed, retaining its headquarters in Frankfurt and preserving its role in financing German mid-sized companies both at home and abroad. The bank should also keep the capital base needed to sustain that role, while key decisions should continue to be taken in Germany.
"We now expect UniCredit's CEO to make these commitments promptly," one source said. "If UniCredit makes these commitments following constructive discussions, this would address the core concerns of the German government."
Such commitments, the sources added, would provide a sound basis for settling the remaining issues through cooperation among all relevant parties and in line with Commerzbank's governance arrangements.
A UniCredit spokesperson said the lender welcomed the ongoing dialogue with the government and remained optimistic about the outcome. "Given the nature of these discussions, we believe it is not our place to discuss such conversations externally while they are ongoing, and it would therefore be inappropriate to comment publicly on the details until they have been concluded and any outcomes finalised," the spokesperson said.
Separately, a report citing people familiar with the matter said Orcel could reshuffle Commerzbank's supervisory board as early as January in a bid to gain greater influence over the German bank's strategy.