German Government Opposes UniCredit's Takeover Bid for Commerzbank

The German government firmly opposes a takeover bid by Italy's UniCredit for Commerzbank. Despite UniCredit increasing its stake in Commerzbank, officials, including Chancellor Friedrich Merz, have expressed resistance. The federal government reiterates its commitment to Commerzbank's independence and rejects UniCredit's uncoordinated approach.

The German government declared its firm opposition on Wednesday to any takeover attempts by UniCredit for Commerzbank, as the Italian bank boosted its stake in the German bank.

A ministry spokesperson emphasized at a government briefing that the federal government supports Commerzbank's independent strategy, while also asserting it will retain its shareholding acquired during the 2008-09 financial crisis.

Despite UniCredit's increase of its holdings in Commerzbank to 20% through derivative conversions, government officials, including Chancellor Friedrich Merz, have spoken against any merger, calling UniCredit's approach uncoordinated and hostile.

(With inputs from agencies.)