Wednesday, August 20, 2014

Commerzbank Bund remains still at least two years faithful – Reuters Germany

Commerzbank Bund remains still at least two years faithful – Reuters Germany

Frankfurt (Reuters) – The federal government is considering at least two more years to a sale of its stake in Commerzbank.

“If we would get out now, that would mean that we do not believe in the plans of management, “said Finance Secretary Thomas Steffen the” Manager Magazin “, according to a preliminary report released Wednesday. “We would lose money.” Commerzbank CEO Martin Blessing wants to rebuild the second largest German money home to 2016: legacy are dismantled and the private customer business be more profitable. “Now we need to consistently implement the plan. Markets want to see results.’s Why you have to give the Board time so that he can reach the well,” Steffen said. “We are not an owner in the long run., But I also see no reason to get out just now.”

The Bund, Commerzbank had sustained during the financial crisis with more than 18 billion euros. Today he still holds 17 percent stake in the bank. Commerzbank shares currently costs less than eleven euros. To achieve the cost price of the covenant, she would have to rise to just under 26 euros. But even at a price of around 18 euros of state bank rescue fund SoFFin would loudly financial circles without further loss of it.

Steffen confirmed that the federal government “from time to time call requests” to get Commerzbank. He hoped, however, that the price increases significantly with a successful conversion: “There are good reasons to assume that the price in 2016 will be higher than now,” said the Secretary of State. “Our interest is to avoid losses to the taxpayer as possible.’s Why we also carry no secret talks at the Roadside to get rid of our share.” The former coalition partner, the FDP – and more recently the Monopolies Commission – had pushed for regulatory reasons, the fact that participation in Commerzbank quickly for sale

Basically, the Secretary also a sale to a foreign bank does not exclude. Germany believe in a European market, even if he was not sufficiently developed. “We can not at every opportunity to propagate the internal market and then focus on national champions,” Steffen said. The traded as a possible buyer Commerzbank major banks such as BNP Paribas, Santander or UniCredit have an interest previously denied. That the federal government had to sell only a 17-percent package, Steffen sees no obstacle to a sale: “That depends on the possible prospective He could help to develop the business model and synergies..”


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