New Blood in Commerzbank's Supervisory Board?
Advocate Suggests Lautenschläger as Potential Board Member
It seems like the cat's out of the bag, as rumors swirl about who might replace Jutta Dönges on Commerzbank's supervisory board. The latest buzz? Former banking supervisor Sabine Lautenschläger, according to insider chatter in the press.
Dönges, one of two federal government reps on Commerzbank's board, announced last week that she'd be stepping down at the annual general meeting on May 15, 2025, citing a desire to cut down her supervisory board workload. The federal government needs to nominate her successor, who'll then be approved by the annual general meeting. Feds and Commerzbank are keeping mum, with the finance agency giving a null response and Commerzbank ignoring the Börsen-Zeitung's query at press time.
Former Banking Supremo-to-be?
If the chit-chat's true, Lautenschläger's addition would be a solid pick, given her impressive banking supervision pedigree. From 2008 to 2011, she was an executive director at BaFin. Then, she moved to the Bundesbank as deputy chair before joining the ECB's executive board and the European Banking Authority (EBA) in 2014. She unexpectedly left the EBA in 2019 and since early 2022, she's been a senior advisor at law firm Covington & Burling in Frankfurt.
Government under Fire
Commerzbank's under the gun right now, with the government still owning around 12% of the bank—giving it two supervisory board seats. There's been some heated debate recently about the government's handling of Unicredit's takeover attempt, as it's not yet clear if the government could have foreseen the Italians' offer for their 4.9% stake.
Bringing in an experienced supervisor like Lautenschläger could be the government's way of sending a strong message to Milan, considering Unicredit now has access to 21% of Commerzbank through derivatives transactions. Unicredit CEO Andrea Orcel clarified that this was purely a financial investment, and while he hasn't ruled out a full acquisition, he's been laid-back about plans to boost his stake.
Holding Pattern
In September, the government called a time-out on the planned sale of its remaining Commerzbank shares to prevent a strategic takeover by a European competitor. The government would also lose its voting rights for supervisory board nominations if it held less than 10% of the bank's shares. So, it looks like it's a wait-and-see game for now.
- If the rumors are true, Sabine Lautenschlaeger may replace Jutta Doenges on Commerzbank's supervisory board, as she has been mentioned as a possible candidate by insider sources.
- Lautenschlaeger, with her extensive background in banking supervision, would be a solid choice for Commerzbank's supervisory board, having served as an executive director at BaFin, deputy chair at the Bundesbank, and a member of the ECB's executive board and the European Banking Authority (EBA).
- The anticipated appointment of Lautenschlaeger could be the federal government's response to the ongoing controversy surrounding Unicredit's takeover attempt, as she brings significant expertise to the table considering Unicredit now has access to 21% of Commerzbank through derivatives transactions.
- The federal government, which owns around 12% of Commerzbank and holds two seats on its supervisory board, is currently in a holding pattern regarding the sale of its remaining shares in the bank, as it aims to prevent a strategic takeover by a European competitor and retain its voting rights for supervisory board nominations.
