Deutsche Post cut stake in Deutsche Bank

Deutsche Post has cut its stake in Deutsche Bank to less than 5%, as planned.

Deutsche Post has cut its stake in Deutsche Bank to less than 5%, as planned.

Deutsche Post said on 14 May it had placed 25m Deutsche Bank shares in the market at a price that led to an additional cash inflow exceeding the originally agreed price by around €100m ($135.6m).

Deutsche Bank and Deutsche Post in January agreed new terms for the bank’s $6.5bn takeover of Post unit Deutsche Postbank, speeding up the deal and giving Post a temporary stake in Germany’s biggest lender.

Under the terms of the amended deal, Deutsche Bank issued 50m new shares and used them to pay Deutsche Post. Half of that stock has now been placed in the market. The other half is completely hedged and can be disposed of starting in June, Deutsche Post said.

“We are very pleased that we could place the stock successfully,” said Deutsche Post chief executive Frank Appel. “This sale marks another big step in our effort to focus on mail and logistics.”