Bulletin: Commerzbank's Creditworthiness Could Come Under Pressure If UniCredit's Acquisition Plans Materialize

FRANKFURT (S&P Global Ratings) Sept. 25, 2024--S&P Global Ratings said today that the credit rating impact on Commerzbank AG (A/Stable/A-1) from UniCredit SpA's quickened advances is still not clear. Italian lender UniCredit (BBB/Stable/A-2) increased its shares in Commerzbank to about 21% with financial instruments with delivery optionality, from the 9% it acquired earlier this month. This happened while regulatory approval for acquiring a stake in excess of 10.0% and up to 29.9% remains outstanding. We think this points to a higher likelihood that UniCredit will seek a material stake in Commerzbank, then eventually acquire a majority stake in Commerzbank, before ultimately integrating it with its existing business in Germany, UniCredit Bank GmbH (HVB; BBB+/Stable/A-2). This would likely allow UniCredit to

...FRANKFURT (S&P Global Ratings) Sept. 25, 2024--S&P Global Ratings said today that the credit rating impact on Commerzbank AG (A/Stable/A-1) from UniCredit SpA's quickened advances is still not clear. Italian lender UniCredit (###/Stable/A-2) increased its shares in Commerzbank to about 21% with financial instruments with delivery optionality, from the 9% it acquired earlier this month. This happened while regulatory approval for acquiring a stake in excess of 10.0% and up to 29.9% remains outstanding. We think this points to a higher likelihood that UniCredit will seek a material stake in Commerzbank, then eventually acquire a majority stake in Commerzbank, before ultimately integrating it with its existing business in Germany, UniCredit Bank GmbH (HVB; ###+/Stable/A-2). This would likely allow UniCredit to lift economies of scale and cost efficiencies, as well as strengthen its franchise in Germany. However, it is too early to say whether an acquisition and an ultimate combination of the...

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