(Yicai Global) May 3 – With its subscription to a share issue by Deutsche Bank, Chinese conglomerate HNA Group Co. will increase its shareholding to almost 10 percent.
It will thereby become Deutsche Bank's largest shareholder.
HNA plans to raise its shareholding in the bank to 9.92 percent, overtaking Qatar's royal family (with a nearly 10 percent stake) and BlackRock Inc. (6.1 percent) as Deutsche Bank's largest shareholder, per a filing the group submitted to regulators yesterday.
The German bank announced on March 5, that it would raise USD 8.5 billion (EUR8 billion) through an issue of 687.5 million shares priced at EUR19.14 , which is about 39 percent below the closing price on March 3. The increase in HNA's shareholding is part of the deal.
The Hainan-based group became the fourth largest shareholder of Deutsche Bank after acquiring a 3.04 percent stake through asset manager C-Quadrat Investment AG on Feb. 15. It disclosed that its shareholding in the bank had been risen to 4.8 percent in March. HNA Group has actively expanded its business presence on foreign markets in recent years, and its target assets are no longer limited to traditional airlines and logistics businesses, but also include financial undertakings.