Commerzbank shares surge on takeover talk

10th August 2005, Comments 0 comments

10 August 2005, FRANKFURT - Shares in Commerzbank, Germany's third biggest bank, surged Wednesday as speculation grew that the bank could fall victim to a takeover bid by giant French financial house, BNP Paribas SA.

10 August 2005

FRANKFURT - Shares in Commerzbank, Germany's third biggest bank, surged Wednesday as speculation grew that the bank could fall victim to a takeover bid by giant French financial house, BNP Paribas SA.

Long considered a prime takeover target, Commerzbank shares jumped at one point by more than seven per cent to about EUR 21.50 in early trading as rumours of a possible move by BNP Paribas, which is France's second biggest bank, spread across the Frankfurt market.

A takeover by BNP Paribas would also represent another major cross-border merger deal in Europe.

The talk about Commerzbank's future comes against the backdrop of growing pressure for a shakeout in Germany's 'overbanked' banking sector.

Germany's second biggest bank, HVB Group, is currently finalising a takeover by Italy's Unicredito Italiano SpA.

DPA

Subject: German news

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