MILAN/FRANKFURT, March 16 (Reuters) – UniCredit made a low-ball unsolicited bid for Commerzbank on Monday to pressure it into merger talks and unlock an 18-month stalemate over what would be one of the biggest European cross-border banking deals since the 2008 financial crisis.
The Italian bank does not expect its offer, worth around 35 billion euros ($40 billion), to convince many shareholders. But the move ratchets up the pressure and gives UniCredit, which already owns nearly 30% of Frankfurt-based Commerzbank, the freedom to acquire more shares on the open market in 2027.
With governments across Europe determined to have a say on banking consolidation while protecting jobs and the independence of their local industry, politicians are key actors in a saga that UniCredit started when it bought a stake in Commerzbank in September 2024.
Here are some of the key players and where they stand:
THE BANK EXECUTIVES
* Andrea Orcel, UniCredit CEO and architect of the deal. Theformer investment banker has been frustrated at the slowprogress but Monday’s offer shows how determined he is to pushon, having failed to buy an Italian lender last year. * Bettina Orlopp, Commerzbank CEO, has long argued for thebank’s independence and said on Monday: “This move is notcoordinated with us.”
THE GOVERNMENT FIGURES
* Friedrich Merz, chancellor of Germany, which owns almost13% of Commerzbank, reiterated on Monday that Germany wants anindependent Commerzbank, opposition to a merger that isconsistent with his predecessor’s stance. * Lars Klingbeil, German finance minister, oversees thegovernments stake and his party wants to protect jobs. He hascalled UniCredit’s advances “unfriendly”. * Giorgia Meloni, Italian prime minister, has neverexpressed support for UniCredit CEO Andrea Orcel’s foreignexpansion plans and only talked about the government’s view onthe domestic banking market. * Giancarlo Giorgetti, Italy’s finance minister, activelyfought UniCredit’s bid for smaller rival Banco BPM, contributingto its failure.
THE REGULATORS
* The European Central Bank, which favours Europeanintegration, has authorised UniCredit to cross the 10% thresholdand get to 29.9%. It needs to clear further thresholds, such as30% and 50%. * The EU Commission, as competition watchdog, would getinvolved in assessing the deal if UniCredit were to acquire acontrolling majority of Commerzbank
LABOUR REPRESENTATIVES
* German labour union Verdi has already seen staff atCommerzbank slashed and is fiercely against a takeover.Commerzbank employs nearly 40,000 people. * Sascha Uebel, chairman of Commerzbank’s works council anda deputy of the bank’s supervisory board, told German newsagency DPA that UniCredit’s latest move was shameful andhostile.
