Deutsche Bank is considering raising up to 10 billion euros from investors as part of the proposed merger with Commerzbank. According to the Financial Times, talks are currently being held about a possible share issue, reports the British business newspaper based on insiders.
Since the merger rumours came to light, there had been open doubts about whether Deutsche Bank had sufficient resources for such a deal. The move to the stock markets should put an end to that doubt.
According to the sources, it is envisaged to raise between 3 billion and 10 billion euros. An amount of 10 billion euros would be equivalent to around 40 percent of the market capitalization of the merged company. The German government is said to urge Deutsche Bank to raise as much money as possible, to prevent the bank from having to hold its hand again in the long term.