(Repeats Sept 12 story to additional Reuters codes)
* To bid for Deutsche Postbank at 24-25 euros per share
* Deutsche Bank to launch share buyback
* Deutsche to revalue existing 30 pct Postbank stake
* To take 2.4 bln euro charge in Q3
(Adds detail, CEO statement)
By Edward Taylor
FRANKFURT, Sept 12 Deutsche Bank (DBKGn.DE)
plans to raise at least 9.8 billion euros ($12.4 billion) to buy
the rest of Deutsche Postbank DPBGn.DE, reducing its reliance
on investment banking as tough new bank capital rules loom.
Germany's flagship lender said it intended to offer between
24 euros and 25 euros a share for the remaining 70 percent stake
in Postbank, the country's largest bank by retail customers.
To fund the takeover, Deutsche Bank expects to issue a total
of 308.6 million common shares from authorised capital at a
preliminary subscription price of around 31.8 euros a share, the
bank said in a statement on Sunday.
The capital increase is primarily intended to cover capital
consumption from the planned Postbank consolidation, but will
"also support the existing capital base to accomodate regulatory
changes and business growth," Deutsche Bank said.
By consolidating Germany's largest retail bank by customers,
Deutsche Bank is able to "significantly enhance Deutsche Bank's
Deutsche Bank shares closed at 47.70 euros on Friday after
falling by around 5 percent as news of a possible capital
increase leaked out. Shares in Postbank closed 4.8 percent
higher at 27.03 euros a share. [ID:nN09213248]
Deutsche Bank shareholders will be able to buy one new share
for every two they now hold. Subscription rights will start on
Sept. 22, the company said.
To consolidate Postbank this year, Deutsche Bank has to
revalue its existing 29.95 percent stake. It will take a charge
of around 2.4 billion euros in the third quarter, it said.
Deutsche Bank will also launch a share buyback of up to 3.1
million shares between Sept. 13 and Sept. 16.
By raising capital shortly after new bank capital rules are
unveiled, Deutsche will be among the first lenders to tap
markets ahead of rivals who may also need to raise funds.
Central bankers and regulators were meeting on Sunday to
finalise the capital rules. [ID:nLDE68B0BP]
For Deutsche Bank it would mark its largest ever capital
increase, and for Germany it could herald the largest share
issue since a 11 billion euro issue by Deutsche Telekom in 1999,
Thomson Reuters data show.
In September 2008 Deutsche Bank announced it would buy a
stake of almost 30 percent in Postbank as a way to gain access
to Postbank's 14 million clients. Former owner Deutsche Post
(DPWGn.DE) still has a 39.5 percent Postbank stake.
(Editing by Michael Shields and David Holmes)