Deutsche Bank shares are higher Thursday, amid reports the business is considering a major overhaul by forming a holding structure of the German investment bank.
Such a move would more clearly separate its retail and investment banking operations. It would also make it easier to manage new mergers and acquisitions.
By 1350 BST, Deutsche Bank shares were 2.41% higher at €9.76. The stock has been edging lower in recent weeks.
Deutsche Bank Holding Company plans
Reuters and Bloomberg have both reported – citing sources – that the option to create a holding company format, separating the retail and investment bank business, while making it easier to agree new deals, is being seriously considered by the Deutsche Bank senior management team leaders.
The bank has had a tough few years, with major losses and fines to contend with. Amid this backdrop, suggestions have been increasing that the German bank would prove amenable to the right merger with another bank. Rumours place Commerzbank at the top of a list potential suitors.
A holding structure would likely make that a simpler process – once it’s in place.
Bloomberg’s report states that the company has been encourage to investigate a holding company structure and that if it were to go ahead, Deutsche Bank could be split into three, mainly independent divisions. However, one management structure would retain oversight for all three.
Deutsche Bank appoints head of anti-financial crime
Separately, Deutsche Bank announced Thursday, that it had appointed a new head of anti-financial crime and Money Laundering.
Stephan Wilken will begin in his new role form October 1st, reporting to the company’s Chief Regulatory Officer, Sylvie Matherat.
Wilken has been with Deutsche Bank for 24 years in a variety of positions, including his most recent position of Global Head of Enterprise Risk Management and Model Risk. That followed various roles within the risk division, including across different geographies.