Commerzbank pledges cost cuts to resist UniCredit takeover
Commerzbank pledged to cut staff and raised financial targets to resist a UniCredit takeover. The lender aims to remain independent following the formal bid.
Commerzbank AG pledged to cut 3,900 jobs and raised financial targets on Friday to maintain independence against a takeover bid. The German lender is fighting an unsolicited offer from UniCredit SpA that valued the Italian bank's potential stake at over 30%. Investors are weighing whether these cost reductions can boost the bank's valuation enough to block the merger.
### Commerzbank Tightens Strategy to Ward Off UniCredit CEO Bettina Orlopp updated the bank's strategy on Friday morning, focusing on leaner operations in Germany. The plan to axe 3,900 positions follows a 20% increase in 2024 net profit, which the bank reported nearly two weeks ahead of schedule in late January. Orlopp is using these improved metrics to convince shareholders that the bank remains more valuable as a standalone entity.