Munich Re has doubled its stake in Commerzbank to 10.4%, in a move aimed at profiting from expected consolidation in the German banking sector.
The chief spokesman for the Munich-based company, Rainer Kueppers, said: "One has to see in German retail banking there's a consolidation process, and in this regard, we are now in a position to observe the further development with and around Commerzbank."
Munich Re disclosed the shareholding ahead of a tightening of German securities laws in April. It did not say what it paid but added that it had doubled the stake over a period of several months at a very reasonable price.
The 10.4% stake moves Munich Re past Italy's Assicurazioni Generali as Commerzbank's largest shareholder.
The stake represents about 0.7% of Munich Re's total of around €150bn (£92bn) in assets, Kueppers said.
