UNICREDIT CEO Andrea Orcel is preparing to take control of Commerzbank and overhaul its supervisory board as early as January, the Financial Times (FT) reported on Tuesday, citing people familiar with the matter.
The Italian lender plans to call an extraordinary general meeting once it receives the remaining regulatory approvals needed to take control of Germany’s second-largest bank, the newspaper said.
UniCredit expects to secure control by the end of February and replace all 10 shareholder representatives on Commerzbank’s 20-member supervisory board, giving it an effective majority, the FT reported.
UniCredit has been fighting a two-year battle with the German government for the control of Commerzbank.
After months of resistance, Berlin finally softened its stance on a potential deal after UniCredit built a stake of nearly 50 percent in the German lender, though it continues to demand that Commerzbank remain listed, keep its Frankfurt headquarters and maintain its role in financing German medium-sized companies at home and abroad.
Germany won the right to appoint two board members when it rescued Commerzbank in 2009 during the global financial crisis. It retains a stake of 13.3 percent in the bank.
Reuters reported this month that Orcel wants sweeping changes at Commerzbank, including the departures of CEO Bettina Orlopp and Chairman Jens Weidmann.
