Commerzbank AG headquarters in the financial district of Frankfurt, Germany, Thursday, September 12, 2024.
Emanuele Kremaschi | Getty Images News | getty images
Italy’s UniCredit said on Wednesday it had used additional derivatives to increase its potential stake in Commerzbank to 28%. The market is watching to see whether the German lender will leapfrog its takeover.
This is an increase from the previous 21% holding.
Italy’s second-largest bank said its current stake consists of 9.5% directly and 18.5% through derivatives.
UniCredit has applied to the European Central Bank for permission to acquire up to a 29.9% stake in the German bank, as CEO Andrea Orcel simultaneously pushes ahead with a bid for Italian peer Banco BPM.
“This move reinforces UniCredit’s view that significant value exists within Commerzbank and must be crystallized,” UniCredit said in a press release on Wednesday. “This reflects our faith in Germany, its businesses and communities, and the importance of a strong banking sector in supporting Germany’s economic development.”
The lender stressed that its current position is “purely investment” and does not affect its offer to Banco BPM.
Commerzbank said it had “noted this announcement” but declined to comment other than to note the strategy is currently being upgraded and will be unveiled on February 13.
This breaking news story is being updated.
— CNBC’s Greg Kennedy contributed to this report.
