Italy fears that UniCredit may shift its central offices to Germany as part of any deal with Commerzbank , government officials said, adding Rome expects to have a say in the matter based on its 'golden power' rules.
UniCredit chief executive officer Andrea Orcel and Commerzbank's designated chief Bettina Orlopp have held a first round of talks as the Italian bank presses to explore a tie-up and the German bank readies its defence.
UniCredit's effort to buy Germany's Commerzbank is a test of a broader project to revive Europe's vitality and stature in the world.
UniCredit chief Andrea Orcel attended a virtual meeting the Italian bank held on Friday with Commerzbank after becoming the German lender's biggest private investor, a source with knowledge of the matter told Reuters.
Executives from UniCredit and Commerzbank held their first meeting on Friday, after the Italian bank this month emerged as the biggest investor in its German peer with a nearly 21% stake, subject to supervisory approval.
Germany's finance minister has underscored to Italy's Treasury his concerns over any hostile takeover of Commerzbank by Italy's UniCredit in recent days, according to two people familiar with the matter, in a wider bid by Berlin to halt a hostile takeover.
A meeting between Commerzbank and UniCredit on Friday will be held virtually in the morning, a source told Reuters.
Italian Deputy Prime Minister Matteo Salvini on Thursday said he would not want to see UniCredit shift its legal base to Germany as part of a potential Commerzbank deal.
Shares of Commerzbank, the German bank being pursued by Italy's UniCredit, soared on Thursday after it forecasted improving profits and shareholder returns.
Commerzbank's designated CEO, Bettina Orlopp, said on Thursday that the bank will hold a first round of talks with UniCredit on Friday as the Italian lender presses for a possible tie-up.
Credit rating agency S&P Global said it saw risks that Commerzbank's creditworthiness could come under pressure if Italian bank UniCredit succeeded in its takeover attempt.
Commerzbank's supervisory and management boards have confirmed the bank's current strategy of independence, the lender said on Thursday, as Italy's UniCredit presses for a possible tie-up.