BREAKING NEWS

BREAKING NEWS

Deutsche Bank, Commerzbank CEOs resume talks over potential merger - Focus

Deutsche Bank, Commerzbank CEOs resume talks over potential merger - Focus
FILE PHOTO: Christian Sewing, CEO of Deutsche Bank AG, addresses the media during the bank's annual news conference in Frankfurt, Germany, February 1, 2019. REUTERS/Kai Pfaffenbach -
@ Copyright :
KAI PFAFFENBACH(Reuters)
Text size Aa Aa

FRANKFURT (Reuters) - Deutsche Bank and Commerzbank's chief executives have resumed talks over a potential merger of Germany's two biggest lenders, Focus magazine reported on Friday, citing people familiar with the matter.

Deutsche Bank CEO Christian Sewing and his counterpart at Commerzbank, Martin Zielke, have been in intense talks for some days, the magazine said.

Both managers have been given a mandate to hold talks by their management and supervisory boards, Focus said.

Speculation of a merger has heightened under the tenure of Finance Minister Olaf Scholz, who has spoken in favour of strong banks. Both banks have been slow to return to sustainable profitability since the global financial crisis.

Last week, a person familiar with the matter said that U.S. investor Cerberus Capital Management, a major shareholder in both Deutsche Bank and Commerzbank, is open to a merger between the two lenders, raising the chances of a tie-up.

Deutsche Bank, regarded as one of the most important banks for the global financial system, has been plagued by three years of losses, ratings downgrades, failed stress tests, and money laundering scandals. Commerzbank is still partially owned by the German government after a bailout.

(Reporting by Christoph Steitz; Editing by Richard Chang)

euronews provides breaking news articles from reuters as a service to its readers, but does not edit the articles it publishes. Articles appear on euronews.com for a limited time.