India, May 18 -- Commerzbank (CRZBY) has officially told its shareholders to turn down a takeover bid from UniCredit (UCG), ramping up resistance to the proposed merger.
Earlier this month, UniCredit, which is now Commerzbank's biggest shareholder, put forth an exchange offer valuing the German bank at nearly 39 billion euros, or about $45.4 billion.
In a statement released on May 18, Commerzbank's supervisory and management boards made it clear that they believe the offer doesn't accurately reflect the bank's true value and could put shareholders at significant risk.
The bank pointed out that the suggested offer price is a considerable discount from what they think Commerzbank could achieve in the long run, emphasizing that their shares...