Commerzbank and UniCredit Management to Meet on Friday

By Elena Vardon

Commerzbank management will meet with UniCredit for the first time on Friday after the Italian bank recently boosted its stake in its German peer.

Bettina Orlopp, Commerzbank's finance chief who will become its chief executive next week, said that a meeting with UniCredit's management is scheduled for tomorrow.

Orlopp spoke at Bank of America's 29th Annual Financials CEO Conference on Thursday, shortly after Commerzbank raised some of its targets as it confirmed its strategy and backed its independent position.

On Monday, UniCredit said it bought financial contracts that could take its Commerzbank stake to 21% from the 9% it recently disclosed. The move has revived speculation that the Italian lender could pursue a tie-up of the two banks. UniCredit is already present in the German market through its Munich-based subsidiary HypoVereinsbank, which it bought in 2005.

This has received a hostile reaction from some German officials and union leaders, who said a full acquisition could cut jobs, cede financial clout to Italy and deprive smaller German businesses of funding.

UniCredit's sees all options as open regarding its investment in Commerzbank, CEO Andrea Orcel said at the same conference on Wednesday. Orcel has signaled an appetite for deals and is eager to create a counterweight to the American megabanks.

Write to Elena Vardon at elena.vardon@wsj.com

(END) Dow Jones Newswires

September 26, 2024 04:43 ET (08:43 GMT)

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