UniCredit nears majority stake in Commerzbank takeover battle
Timeline of Key Events in the UniCredit-Commerzbank Takeover
By Tom Sims and Valentina Za
FRANKFURT, July 8 (Reuters) - Italy's UniCredit has secured 47.6% of Germany's Commerzbank after a fraught takeover offer ended this month.
Like some other banks, Commerzbank has had a rocky history with big mergers and acquisitions over the years, including a long pursuit by UniCredit.
These are some of the key moments:
Early History and Expansion
1870 to 1970s: Foundation and Growth
Founded in Hamburg and later moved to Berlin. Relocated to Frankfurt in 1970 as one of Germany's leading banks, focusing on retail and corporate customers.
1970s: International Expansion
Expands to New York, London and other European capitals.
Major Mergers and the Financial Crisis
2008: Dresdner Bank Acquisition
Agrees to buy Dresdner Bank, one of Germany's biggest banks, from insurer Allianz in a $14.5 billion deal.
Commerzbank is the first commercial bank to turn to the German government for capital during the global financial crisis.
2009: Government Bailout
With the bailout, Germany takes a 25% plus one share Commerzbank stake in return for an extra €10 billion ($11.4 billion) capital injection.
Restructuring and Stake Building
2016: Restructuring Begins
Commerzbank embarks on a multi-year restructuring.
2017: Cerberus and UniCredit Interest
U.S. investor Cerberus builds a stake controlling 5% of Commerzbank voting rights. UniCredit tells Berlin it is interested in eventually merging with Commerzbank to create one of Europe's biggest banks.
2018: DAX Index Exit
Commerzbank drops out of the blue-chip DAX index.
Merger Talks and Strategic Moves
2019: Deutsche Bank Talks and UniCredit Preparations
Cerberus says it is open to a merger between Deutsche Bank and Commerzbank. The two institutions hold talks, but call them off weeks later.
UniCredit engages investment bankers to advise it on a potential bid for Commerzbank, whose supervisory board approves cutting thousands of staff and closing a fifth of its branches.
2020: mBank Decision and Leadership Changes
In a U-turn, Commerzbank says it would not sell Polish subsidiary mBank, citing poor market conditions.
Commerzbank chairman and CEO step down, bowing to Cerberus demands.
2021: New CEO and Independence Drive
New CEO Manfred Knof wants to cut 10,000 jobs and close hundreds of branches as part of a revamp. Knof says Commerzbank is working to remain independent.
Renewed UniCredit Interest and Escalation
2022-2023: UniCredit Approaches and Commerzbank Recovery
UniCredit CEO Andrea Orcel approaches Knof about a deal in early 2022, before the Ukraine war, Reuters reports. Meanwhile, Commerzbank returns to profit and rejoins DAX.
2024: Takeover Battle Intensifies
September: Merger Talks and Government Involvement
September 11 - UniCredit approaches Commerzbank about exploring merger talks, according to a person with knowledge of the matter, after the Italian bank bought a 9% stake. Commerzbank's management discusses how to keep it independent.
September 13 - German government officials and UniCredit bankers hold talks, Reuters reports.
September 16 - Knof snubs UniCredit's overtures, saying he had his own plans and hopes bank can remain independent.
September 20 - Germany says it would not sell any more shares in Commerzbank for now.
September 23 - German Chancellor Olaf Scholz calls UniCredit's move to acquire a possible 21% stake "an unfriendly attack".
September 24 - Commerzbank says Bettina Orlopp is to become CEO.
October 1 - Orlopp, on her first day as CEO, tells staff she wants Commerzbank to remain independent.
December 18 - UniCredit announces an increase in its stake through derivatives to around 28%.
Recent Developments and Outcome
2025: Financial Results and Regulatory Approvals
January 31 - Commerzbank posts a 20% increase in net profit in 2024, in an earnings report published nearly two weeks ahead of schedule.
February 13 - Commerzbank plans to axe 3,900 mostly local jobs to help it deliver more ambitious profit targets.
March 14 - Commerzbank takes note of ECB approval of UniCredit's stake rise, but remains focused on its strategy.
2026: Final Takeover Moves
March 16 - UniCredit launches unsolicited bid to raise its stake above 30%. Commerzbank, German government and a key union voice reservations.
April 7 - Short-lived talks between the banks fall apart.
May 5 - UniCredit formally launches bid.
May 8 - Commerzbank updates its strategy with earnings.
May 18 - Commerzbank formally rejects UniCredit's offer.
June 4 - Commerzbank raises concerns with the German regulator about UniCredit's disclosures on its stake buildup.
June 16 - Germany, which holds Commerzbank shares, officially rejects UniCredit's offer.
July 8 - UniCredit announces it has secured 47.6% of Commerzbank shares.
Additional Information
($1 = 0.8752 euros)
(Reporting by Tom Sims, John O'Donnell and Valentina Za; Editing by Alexander Smith, Tomasz Janowski and Edwina Gibbs)
