UniCredit CEO Signals Confidence in Commerzbank Deal as Talks Resume

UniCredit's chief executive, Andrea Orcel, expressed confidence that a deal to acquire Commerzbank is likely as negotiations with the German government and other stakeholders are set to continue. In an interview with Italy’s *Corriere della Sera* published Sunday, Orcel said he expects the discussions to find common ground, signaling a potential breakthrough in what would be one of Europe's largest cross-border banking mergers in recent years.

Negotiations Set to Restart

Formal talks between the Italian and German lenders are expected to resume shortly. According to the report, Orcel is scheduled to meet with Commerzbank Chief Executive Bettina Orlopp after the German bank reports its earnings on August 6.

The development marks a significant shift in the M&A landscape, as the German government, a key stakeholder in Commerzbank, has reportedly moved from opposing a takeover to focusing on the terms under which a deal could proceed.

Strategic Rationale and Commitments

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Orcel defended the strategic logic of the merger, which would combine Germany's second-largest listed bank with UniCredit's existing German unit, HypoVereinsbank. He argued the two are strategically complementary and that a larger, combined entity would be better positioned to support Germany's economy and corporate clients.

Pushing back against suggestions that the acquisition would harm Commerzbank, Orcel stated that UniCredit would not invest €22 billion to weaken the business. He reiterated UniCredit's readiness to honor previous commitments made to secure the deal, including:

• Steps to mitigate the social impact of the merger.
• Pledges to support small and medium-sized businesses.
• Financing for Germany’s economic transformation.

Orcel added that the potential agreement could be broader than many anticipate, suggesting a comprehensive approach to integrating the two financial institutions.