Talk about a merger between Deutsche Bank and Commerzbank have been kindled by powerful political figures. But not only, an overseas investor is also said to favor a German champion.
German Finance Minister Olaf Scholz is said to have ordered the regulator BaFin to study a merger between the two biggest German banks. But the government is not alone in its wish to create a new German powerhouse.
Cerberus, the powerful U.S. investor, which holds stakes in both firms, also seems to back the idea, according to a report in Germany's «Handelsblatt». The investor came to the conclusion that a merger would be in its best interest because of the sluggish performance of the banks’ shares, the modest business prospects at Deutsche and the challenges of the digital transformation, where size may become of vital importance.
Cerberus believes all those factors combine to make a merger to create «Deutsche Commerz», as the project has been dubbed, a meaningful exercise.
