UniCredit's Strategic Move: Antitrust Approval for Commerzbank Stake

Germany's antitrust authorities have approved UniCredit's plan to significantly increase its stake in Commerzbank, a crucial step towards the Italian lender's takeover ambition. With initial approval from the European Central Bank, UniCredit is set to hold just under 30%, completing complex financial maneuvers for regulatory compliance.

Germany's antitrust authorities have given the green light to UniCredit's plans to significantly increase its stake in Commerzbank, paving the way for a potential takeover. The approval, granted on Monday, marks a pivotal development in UniCredit's efforts to expand its influence in Germany's banking sector.

This decision by the Federal Cartel Office was widely anticipated following similar approval from the European Central Bank earlier this year. The current ruling allows UniCredit to increase its stake in Commerzbank to just under 30%, building upon its existing 9.5% ownership.

Last year, UniCredit revealed it had employed a series of financial strategies involving derivatives to secure about 28% of Commerzbank shares. With regulatory barriers now removed, the Italian bank aims to consolidate its position by achieving a 29.9% stake in its German competitor.

(With inputs from agencies.)