Wednesday November 10, 2021
Report on possible takeover
Merger fantasies drive Coba shares
Commerzbank shares are climbing strongly. According to a media report, the traffic light coalition could be one of its first decisions to sell the money house. A surprising buyer would therefore already be ready.
Commerzbank shares have risen to a two and a half year high. Dealers referred to a magazine report as the reason, according to which a takeover of the money house under the new traffic light coalition could become more likely. The papers climbed by up to 4.3 percent to 6.99 euros.
The magazine “Focus” had previously reported that a sale of Commerzbank could be promoted under a new government coalition. The reason would be the government participation of the FDP, through which state holdings in private companies should be the exception in the future. There is speculation about the future of the bank and the cooperative institute DZ Bank is named as a possible purchase candidate, the report said, citing Frankfurt banking circles. Neither Commerzbank nor DZ Bank wanted to comment on this upon request.
During the financial crisis ten years ago, the state saved the bank from ruin with capital aid of around 18 billion euros. In the meantime, a large part of the debt has been paid back. With its 15 percent stake, the state is still the largest shareholder.
Most recently, the bank, which was in the middle of renovation, returned to profitability in the third quarter. The Frankfurt money house generated a profit of 403 million euros from July to September after a loss of 60 million euros a year earlier, as the Commerzbank announced on Thursday. Analysts surveyed by the bank had only expected an average of 253 million euros. In the second quarter, the institute was still in the red due to expenses for corporate restructuring and depreciation for a major outsourcing project that had been stopped.
Commerzbank generated an operating profit of EUR 472 million in the third quarter of the year. The bank also exceeded the analysts’ estimates, who had expected an average of 364 million euros. “The implementation of our strategy is proceeding according to plan and the operational business is also developing well,” explained Commerzbank boss Manfred Knof. For the year as a whole, the bank expects a positive group result despite the renovation costs.