A new major investor for Deutsche Bank and the stock market jumps. The US investment company Capital Group is making a big entry, and Deutsche Bank boss Sewing can feel confirmed in his conversion course.
Already at the beginning of the year, the Neue Zürcher Zeitung said: “The Deutsche Bank is leaving the intensive care unit” – this Wednesday, so to speak, the medical bulletin was delivered: The investors of the Capital Group from Los Angeles take over 3.1 percent of Germany’s largest money house, and that Exchanges nod wildly: at 10 a.m. the bank’s stock was up 4.5 percent, shortly after eleven it was a 14-month high, in the afternoon the top was over 12 percent – and that Price easily passed the nine euro mark.
It is clear that the Deutsche Bank paper was the daily winner in the German stock index (Dax) – recently a rarity. Last summer, the battered bank was at a record low of just EUR 5.78. But things have been going up since the beginning of the year, and the market has grown by 24 percent since then. The traditional bank generated a loss of 5.7 billion euros last year. That was the fifth consecutive annual loss. During this time, the share price lost almost 66 percent – the all-time high of the share is just under 92 euros and dates from 2007.
Deutsche Bank welcomed the new major shareholder. “We are excited about all shareholders, especially those who have experience and credibility like Capital,” said a spokesman. Capital Group did not want to comment. The US investment fund is now one of the six largest among the major shareholders of the money house from Frankfurt: among other things, the Sheikhs from Qatar are involved through two funds with a total of at least 6.1 percent, the financial investor Cerberus and the US investment company Blackrock also hold larger share packages,
Bank boss Christian Sewing has ordered a renovation of his house, which should cost a good seven billion euros. The Deutsche Bank should now focus more on corporate and private customers and less in the volatile investment banking, which has repeatedly caused high losses. Bond trading is trimmed right, stock trading completely shut down. The bank will cut 18,000 jobs worldwide in the coming years. “We are on the right track,” said the boss a week ago when presenting the annual figures.
Capital Group claims to manage nearly $ 2 trillion in assets. The investment company previously held shares in Deutsche Bank but then sold shares.