UniCredit Raises Commerzbank Stake Past One-Third, Facing Employee Opposition

Italian banking giant UniCredit has significantly boosted its stake in Germany's Commerzbank, now holding more than 34.35 percent of the company's shares. This strategic move brings UniCredit closer to the threshold that would trigger a mandatory, and likely more expensive, takeover bid.

The latest increase follows Commerzbank shareholders selling 7.58 percent of their shares. UniCredit had previously become the largest single shareholder in Commerzbank in September 2024, utilizing a share sale by the German federal government. The state, which previously held a significant stake, now owns approximately 12 percent.

UniCredit submitted a voluntary takeover offer for all Commerzbank shares in early May. This offer allows UniCredit to acquire shares before exceeding the 30 percent ownership mark, thereby avoiding the obligation to launch a more costly mandatory bid. The proposed exchange rate is 0.485 UniCredit shares for each Commerzbank share, a valuation currently lower than Commerzbank's recent stock market closing prices. UniCredit also possesses financial instruments that grant it access to a substantial number of additional Commerzbank shares.

Despite UniCredit's efforts, the proposed takeover is met with strong resistance. Commerzbank's management, its works council, and the employee base have collectively rejected UniCredit's approach, characterizing it as a "hostile" maneuver. The situation remains dynamic as UniCredit continues to consolidate its position in the German lender.