Deutsche Bank reportedly wants to raise up to $11 billion to buy Commerzbank. Its market cap is only $15 billion

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The capital raising is designed to prevent the bank having to return to markets following the deal, if successful.

Deutsche's current market capitalization sits at around €17 billion, meaning the raise would be a huge undertaking for the German lender.

German finance minister Olaf Scholz indicated that the Bundestag was not pressuring for the tie-up and that a deal is up to the banks:with Frankfurter Allgemeine Zeitung on Wednesday. Concerns have been raised about the merger by employee unions and finance officials in Germany. Deutsche has raised €30 billion since 2010,to the Financial Times, who indicated that shareholders would not be happy if the full €10 billion was raised, citing people with knowledge of the talks.

Deutsche Bank officials are also said to be wary of the credit quality of Commerzbank's loan book as talks progress,

 

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