The biggest German bank Deutsche Bank AG expects losses in connection with the planned absorption of Deutsche Postbank AG, the Associated Press reported citing an official statement of the credit institution.
Deutsche Bank shares lost dramatically in value (about 4.5%) against the declaration of the deal, as published on the official website of the company, and stood at 44.75 euros at the close of stock market session on 21 September on the ground in Frankfurt.
Currently, Deutsche Bank AG owns just under 30% of assets Postbank. Application for full absorption was formalized on 12 September and supported the intention to issue additional shares in order to attract 10.2 billion euros. The credit institution plans to sell 308.6 million new shares at the price of 33 euros apiece.
Showing posts with label Deutsche. Show all posts
Showing posts with label Deutsche. Show all posts
9/21/10
9/10/10
Deutsche Bank may hold additional issue of 9 billion euros in anticipation of Basel-3 "
Germany's biggest bank Deutsche Bank AG is considering conducting additional share issue amounting to 9 billion euros to increase its stake in Deutsche Postbank AG and achieve regulatory capital figures in the discussion of the provisions of the Basel Committee on Banking Supervision Basel-3 ", reports Bloomberg referring to three a source familiar with the situation.
Deutsche Bank approached several companies to assess their interest in organizing additional issue, which could take place as early as next week, said the sources. The share of the financial institution in Deutsche Postbank to date is almost 30%. In addition, Deutsche Bank has an option to purchase additional shares in Deutsche Postbank. At the end of 2009, capital adequacy ratio Deutsche Postbank was minimal among the largest banks in Germany.
Earlier, the head of Germany's largest bank, Josef Ackermann (Josef Ackermann) announced that Deutsche Bank will attract additional capital only for the purposes of acquiring assets in other organizations. "The only reason for such action now, Deutsche Bank - is striving to acquire Deutsche Postbank is cheaper than in the long term, - told the news agency Bloomberg analyst at MF Global Mohan Simon (Simon Maughan). - Share capital increase is Deutsche Bank could be limited during the additional issue.
Nevertheless, some analysts believe that Deutsche Bank may be another reason for the additional issue. As reported on Monday the Association of German Banks, the ten largest banks in Germany, including Deutsche Bank and Commerzbank AG, may need additional capital amounting to 105 billion euros in giving effect to the provisions of the Basel-3. According to calculations by analysts, it is this amount will be needed for banks to achieve the level of capital adequacy at 10%.
According to the developed but not yet approved the rules of the Basel-3 ", credit institutions will have to significantly increase the amount of capital to secure cover risks associated with the securitized assets and derivatives. Adaptation period when this will last 5-10 years since 2013, but the solution itself for entry into force of new regulations can be accepted by the members of the Basel Committee has already met on September 12.
Deutsche Bank approached several companies to assess their interest in organizing additional issue, which could take place as early as next week, said the sources. The share of the financial institution in Deutsche Postbank to date is almost 30%. In addition, Deutsche Bank has an option to purchase additional shares in Deutsche Postbank. At the end of 2009, capital adequacy ratio Deutsche Postbank was minimal among the largest banks in Germany.
Earlier, the head of Germany's largest bank, Josef Ackermann (Josef Ackermann) announced that Deutsche Bank will attract additional capital only for the purposes of acquiring assets in other organizations. "The only reason for such action now, Deutsche Bank - is striving to acquire Deutsche Postbank is cheaper than in the long term, - told the news agency Bloomberg analyst at MF Global Mohan Simon (Simon Maughan). - Share capital increase is Deutsche Bank could be limited during the additional issue.
Nevertheless, some analysts believe that Deutsche Bank may be another reason for the additional issue. As reported on Monday the Association of German Banks, the ten largest banks in Germany, including Deutsche Bank and Commerzbank AG, may need additional capital amounting to 105 billion euros in giving effect to the provisions of the Basel-3. According to calculations by analysts, it is this amount will be needed for banks to achieve the level of capital adequacy at 10%.
According to the developed but not yet approved the rules of the Basel-3 ", credit institutions will have to significantly increase the amount of capital to secure cover risks associated with the securitized assets and derivatives. Adaptation period when this will last 5-10 years since 2013, but the solution itself for entry into force of new regulations can be accepted by the members of the Basel Committee has already met on September 12.
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