UniCredit's bid for Commerzbank faces German government rejection

Italian bank UniCredit launched a €40 billion all‑share public offer for Germany’s Commerzbank, seeking to exceed the 30 % control threshold. By the offer’s closing on 16 June UniCredit reported a 41.8 % effective holding – 26.77 % direct equity, 11.86 % tendered shares and about 3 % in share‑settled derivatives – valuing Commerzbank at €37.33 per share (exchange ratio 0.485).

Germany’s federal finance agency, which controls roughly 12 % of Commerzbank, rejected the proposal as economically untenable, saying the bid does not provide an adequate premium over the current share price and describing UniCredit’s approach as “aggressive”. The agency reiterated its support for the bank’s independence and its role in financing the German Mittelstand and the Frankfurt financial centre.

The German government’s stance was echoed by the inter‑ministerial steering committee of the Financial Market Stabilisation Fund. In parallel, Frankfurt prosecutors opened a preliminary investigation into possible market manipulation after a workers’ council complaint, while UniCredit asked BaFin to review statements it says were misleading. Commerzbank disputed UniCredit’s share‑count figures, arguing that many tendered shares originated from banks acting as counterparties to UniCredit’s derivatives.

The offer period has been extended by 15 days from 20 June to 3 July, allowing remaining shareholders to tender shares.