The latest on big banks mergers - speculation, meetings, denials

Merge Right Sign

Are there more moves afoot ? Speculation involving four banks doing the rounds.

Bloomberg News reports that Deutsche Bank Chairman Paul Achleitner is on his third strategic overhaul and fourth chief executive officer. Now, he’s mulling a solution that’s been raised countless times: merging Germany’s weakened banks to create one that thrives.

Achleitner has spoken with top shareholders and key government officials about potentially combining Deutsche Bank with Commerzbank, according to people familiar with the matter.

There are currently no formal discussions and a deal isn’t imminent. Yet such pairings have been floated - and sometimes pushed through - over the past decade as Germany has struggled to sustain a financial titan to match its massive economy. The concept’s re-emergence now shows pressure is building on Achleitner to snap Deutsche Bank out what it calls a “vicious circle.”

Deutsche Bank Chair Has Talked to Shareholders About a Commerzbank Deal

In the meantime, Reuters reports that Societe Generale CEO Frederic Oudea said on Thursday that cross-border bank mergers in Europe at the moment offer insufficient synergies between retail markets.

Societe Generale recently denied rumors about a potential tie-up with Italy’s Unicredit.

“I don’t believe at all that we are currently in a situation to see cross-border mergers because the environment still is not that clear,” Oudea told a Goldman Sachs investor conference on Thursday, according to a transcript of his speech by Thomson Reuters StreetEvents.

SocGen CEO dismisses talk of pending cross-border mergers in Europe




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