UniCredit CEO says full control of Commerzbank is not expected

UniCredit CEO Andrea Orcel said the Italian bank does not expect to gain full control of Commerzbank as it continues raising its stake in the German lender. The remarks came as UniCredit’s tender offer to expand its holding in Commerzbank got underway. UniCredit already owns about 28% of the bank and is seeking to move above 30%, a level that would bring it closer to a key regulatory threshold. Orcel said that even if UniCredit did end up with control, the bank has a clear plan and believes the outcome would support shareholders on both sides. He also said UniCredit is focused on execution rather than the outcome of the bid. The move has faced resistance in Germany. Commerzbank’s deputy CEO argued that a takeover would weaken its business model, while Orcel said the bank’s growing stake has already pushed Commerzbank to review its strategy. UniCredit also reported stronger firstquarter earnings, with net profit rising 16.1% year on year to 3.2 billion euros.