German government steps back. There won't be any law “to protect” banks German. At least for now. The confirmation came directly from the Finance Ministry in Berlin, with a spokesperson who clearly stated: "we deny these scenarios".
The anti-Unicredit law
Last week, several rumours circulated that the German government wanted to impose a crackdown on future acquisitions, establishing stricter transparency requirements for investors who buy shares in German companies. A reaction to theUnicredit-Commerzbank deal. In mid-September, in fact, the bank led by Andrea Orcel announced the purchase of 9% of Commerzbank and the activation of equity swaps on a further 11,5% of the German bank. Moves that made the Chancellor furious Olaf Scholz who spoke of a "hostile act". The German government has also repeatedly stated that not having been aware of the intentions of the Italian bank, only to be later denied by some parliamentary documents which demonstrate contacts and discussions between Unicredit executives and high officials of the Berlin government in the months preceding the purchase of a part of the state stake in Commerzbank.
Returning to the rumors, the current rules require that investors must communicate the purchase of shares above the 3% threshold, which becomes 5% for derivatives. According to the rumors, the hypothesis being studied by the Ministry of Finance in Berlin envisaged lower these thresholds, making them uniform at 3% both for stocks and derivatives, and for combinations between different instruments. In this way, the “surprise effect” caused by the Unicredit-Commerzbank operation would have been avoided in the future.
Brussels: “Restrictions only if proportionate”
The Government's step back on the possible law already dubbed “anti-Unicredit” could also be due to the reactions from Brussels. The European Commission has in fact stated that any restrictions to the rules of the free market "are permitted only if proportionate and based on its legitimate interests”. Not to mention the ECB, which has never directly commented on the operation, but has always reiterated its support for “cross-border mergers”. “Banking consolidation at a European level is something that has been desired by many for some time”, declared the president of the central bank Christine Lagard.
After Unicredit announced that it had a hypothetical 21% and asked for authorization to increase to 29,9%, it will be the ECB, among other things, that will have the final say on the operation. The supervisory board of the Central Bank, by November, will in fact complete the preliminary investigation for the purchase of significant shares in the capital of the banks.
Commerzbank considers acquisitions
Meanwhile, Commerzbank's new CEO Bettina Orlopp said the bank is looking for new prey. "We can also grow inorganically through acquisitions"He said to Business Week. Such acquisitions are conceivable “in the area of asset management, for example”. “At the same time, we will seek acquisitions in the sector ofcorporate customers“, Orlopp continued. The CEO added that the bank wants to focus on offering new services to customers in the event of acquisitions. However, acquisitions are not the only way to achieve further growth. She sees corresponding potential in the direct banking subsidiary Comdirect, for example.
