German Finance Minister Klingbeil met on the 14th with Andrea Orcel, chief executive of Italian banking giant UniCredit, and set out conditions regarding a possible takeover of Germany's Commerzbank by UniCredit. According to a statement from the German Finance Ministry, the conditions include maintaining Commerzbank's stock market listing, keeping its headquarters in Frankfurt, and continuing lending to German small and medium-sized enterprises at home and abroad. The meeting in Berlin marked a turning point in the two-year battle over control of Commerzbank. Klingbeil said, "In a constructive discussion with Orcel, I made clear that the negotiations ahead must be conducted responsibly," while Orcel also said the meeting was a good and constructive first round of talks and that further discussions would follow promptly. After UniCredit acquired nearly 50 percent of the shares, German government officials and Commerzbank executives, following months of resistance, softened their opposition to a possible takeover. If UniCredit and Commerzbank merge, it would create a bank with more than 1.3 trillion euros in assets spanning two major economies of the euro area.
Commerzbank AGGerman Finance Minister sets conditions (listing, Frankfurt HQ, SME lending) for UniCredit's potential takeover of Commerzbank, softening official opposition.
UniCredit SpAUniCredit's Orcel holds constructive talks with German Finance Minister on conditions for a possible Commerzbank takeover, a turning point in the two-year battle.
