Commerzbank Raises EU776 Million in Hybrid Share Swap
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Commerzbank AG, Germany’s second-biggest bank, will boost core Tier 1 capital by 776 million euros ($1.02 billion) in the first half after swapping hybrid capital instruments for new shares.
Commerzbank is exchanging about 361 million new shares for debt securities with an aggregate principal amount of 965 million euros, the Frankfurt-based lender said today. The swap, announced Feb. 23, will boost after-tax earnings by 87 million euros in the period.