November 22, 2024
German ministry denies report it is committed to selling Commerzbank stake #NewsGerman

German ministry denies report it is committed to selling Commerzbank stake #NewsGerman

CashNews.co

(Reuters) -The German finance ministry denied a report by Bloomberg News on Tuesday saying it remained committed to selling its entire stake in Commerzbank despite UniCredit’s interest in potentially buying the lender.

“The Federal Government will thoroughly analyse the situation and make decisions on how to proceed in due course,” a spokesperson said, calling the report “incorrect”.

The report, citing people familiar with the matter who declined to be named, said Germany’s government continued to intend to divest fully from Commerzbank, selling at the most favorable price rather than retaining the stake even if it leads to UniCredit acquiring more shares.

Commerzbank declined to comment. UniCredit did not immediately respond to Reuters’ requests for comment.

UniCredit emerged as the biggest private investor in Commerzbank after it outbid rivals in a tender to buy a 4.5% stake from the German government. UniCredit had previously bought another 4.5% stake in the market.

(Reporting by Christian Kraemer in Berlin and Surbhi Misra in Bengaluru; Editing by Mark Potter)