2010-09-09 — bloomberg.com
Deutsche Bank AG is considering a stock sale of as much as 9 billion euros ($11.4 billion) to boost its stake in Deutsche Postbank AG and meet stricter capital rules, said three people with knowledge of the talks.
“I’m wondering if this is in relation to the Basel news that will be coming out over the weekend,” said William Fitzpatrick, a financial-industry analyst at Optique Capital Management in Milwaukee, which manages $700 million and owns stock in Deutsche Bank. “I’d imagine there’s a link there.”
Policy makers are seeking to increase the reserves held by banks to avoid another financial crisis. Deutsche Bank, which sidestepped the worst of the financial crisis and eschewed a government bailout, had a Tier 1 capital ratio of 11.3 percent at the end of June.
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