German Chancellor Merz Won't Block UniCredit's Bid for Commerzbank, Eyes Business Model

Germany's Chancellor Friedrich Merz said recently he doesn't fundamentally oppose UniCredit SpA's attempt to acquire Commerzbank AG, but dislikes the Italian bank's approach to the deal. Merz noted that the German government, which still holds over 12% of Commerzbank, has not sold its stake to UniCredit, though a "substantial share" of other investors made a different choice. The Chancellor supports having large, competitive European banks and believes ownership structure should be determined by shareholders rather than governments, but wants to understand the business model given Commerzbank's role in financing German small and medium-sized enterprises.
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