News Column

Commerzbank Rises on Reports Germany May Sell Stake

July 15, 2013

Shares in Commerzbank jumped Monday following reports that the German government was considering selling a stake in the partly state-owned bank to Switzerland's UBS.

Berlin currently holds a 17-per-cent stake in Commerzbank, which was part of the 18.2-billion-euro bailout (23.7 billion dollars) agreed to for the Frankfurt-based bank at the height of the financial crisis in 2009.

The government's Financial Market Stabilization Funds (SoFFin) originally took a 25-per-cent stake in Commerzbank, which was reduced in May following a capital increase by the bank.

According to weekend media reports, German Finance Minister Wolfgang Schaeuble has spoken to UBS chief Axel Weber about the Zurich-based bank acquiring a holding in Commerzbank.

A Finance Ministry spokeswoman declined to comment on the reports.

The German media also speculated that France's BNP Paribas or Spain's Banco Santander might be possible candidates to buy stakes in Commerzbank.

Commerzbank stock was 3.7 per cent higher at 6.18 euros in late morning trading Monday after, at one point, climbing by 4.5 per cent.

Source: Copyright 2013 dpa Deutsche Presse-Agentur GmbH

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