Open

Coming up

Don't miss

Replay


LATEST SHOWS

AFRICA NEWS

2014-07-11 21:47 AFRICA NEWS

Read more

MEDIAWATCH

Finally, a good use for new app "Yo"

Read more

THE WORLD THIS WEEK

The World This Week - 11 July 2014 (part 2)

Read more

THE WORLD THIS WEEK

The World This Week - 11 July 2014

Read more

REPORTERS

Exclusive: an unlikely victim of the 'War on Terror'

Read more

#THE 51%

Sweden: A Feminist's Paradise?

Read more

FRANCE IN FOCUS

Politics: parties under pressure

Read more

FOCUS

In Burma, the rise of radical Buddhism

Read more

ENCORE!

Haute Couture: the hand-stitched clothing made in Paris that sells for the price of small yachts

Read more

  • Ukraine promises retaliation after rebel assault

    Read more

  • The third-place playoff: the World Cup game no one wants to play

    Read more

  • Last of the Ramones, Tommy Ramone, dies aged 62

    Read more

  • Putin revives old Cuban flame and eyes Latin American minerals

    Read more

  • Kerry holds all-night talks with Afghan presidential rivals

    Read more

  • Netanyahu resists international pressure to stop air strikes on Gaza

    Read more

  • Amazon snubs French free delivery ban with one-cent charge

    Read more

  • Cleveland's NBA fans hail 'return of king' LeBron James

    Read more

  • Exclusive: an unlikely victim of the 'War on Terror'

    Read more

  • Magnitude 6.8 quake, small tsunami hit east Japan

    Read more

  • Suspect in Brussels Jewish Museum shooting drops extradition appeal

    Read more

  • Kurdish forces take over two oilfields in northern Iraq

    Read more

  • Are French high school students getting smarter?

    Read more

  • Italy’s Trentin wins seventh stage of Tour de France

    Read more

  • In pictures: Chanel, Dior and so much more at the Paris couture shows

    Read more

Deutsche Bank buys slice of Postbank

©

Latest update : 2008-09-12

Following Commerzbank's takeover of Dresdner Bank, Deutsche Bank joined in the ongoing consolidation of Germany's banking sector by acquiring 29.75 percent stake in Postbank, the banking division of the country's former postal monopoly.

In what would be the third mega-deal for Germany's normally calm banking sector in two months, Deutsche Bank has confirmed it is in "advanced discussions" on buying a stake in Postbank.
  
Deutsche's possible multi-billion euro (dollar) purchase, which may be agreed as soon as Friday when the board of Postbank's parent Deutsche Post meets, would represent a big push to grow its high street banking business.
  
As a unit of the former postal monopoly in Europe's biggest economy, Postbank has Germany's biggest retail banking network with a branch in every post office and some 13.5 million customers.
  
Deutsche Bank is set to be leapfrogged as Germany's biggest bank in terms of branches and customers by Commerzbank's announcement on August 31 that it has agreed to buy the rival Dresdner Bank for 9.8 billion euros (13.7 billion dollars).
  
It remains the country's biggest lender measured by assets and market value, however, and its investment banking arm makes it the only German bank with a major presence on Wall Street and London's Square Mile financial district.
  
After years of inertia, a deal between Deutsche and Postbank would be the latest in a recent flurry of consolidation in Germany's retail banking sector.
  
Before the Commerzbank/Dresdner merger, it was France's Credit Mutuel that made waves in July when it announced it was buying Citibank's German network for 4.9 billion euros to get its hands on 3.3 million clients.
  
Deutsche Post has been looking for a buyer of its 50-percent-plus-one-share stake in Postbank and with Commerzbank having Dresdner to integrate, Deutsche Bank was already widely seen as the most likely buyer.
  
If Deutsche Bank agrees to buy more than a 30-percent stake in Postbank it would be obliged under German law to make an offer to buy the remaining shares listed on the stock market.
  
Based on Postbank's current share price that would mean Deutsche Bank would have to fork out up to eight billion euros, meaning it might have to raise fresh capital to fund the acquisition.
  
But press reports have indicated that Deutsche Bank intends to avoid having to make a full offer by buying less than 30 percent. The General-Anzeiger daily reported Thursday that the bank was eyeing a stake of 29.75 percent.
  

Date created : 2008-09-12

Comments

COMMENT(S)