Commerzbank Chair Calls for Review of German Takeover Laws

Commerzbank supervisory board chair Jens Weidmann has called for a review of German takeover laws following a bid by Italy's UniCredit. Weidmann told Sueddeutsche Zeitung that UniCredit secured a 48% stake despite making a "financially unattractive offer" that failed to provide shareholders with an adequate control premium.

Weidmann noted that fewer than 18% of the shares available for tender were provided, with the majority coming from banks linked to UniCredit rather than institutional or retail investors. While the acquisition of the stake has occurred, the deal still awaits final regulatory approvals.

Regarding the role of the state, Weidmann argued that the Federal Government of Germany should maintain its existing stake in Commerzbank for the time being. He stated that while the holding originated from a financial crisis rescue package and the government should eventually withdraw, it currently makes sense for the state to remain a shareholder to represent Germany's interests as a business location.