The management board and the supervisory board of Deutsche Bank have resolved to submit a voluntary public takeover offer to the shareholders of Deutsche Postbank to acquire their no-par value registered shares.

Deutsche Bank, which currently holds 29.95% of the shares of Deutsche Postbank, intends to offer Postbank’s shareholders a cash payment equal to the volume-weighted average share price of the Postbank share based on the quotations on the German stock exchanges for this share over the last three months. The price is expected to be in the range of €24 to €25 per share.

The management board and the supervisory board of Deutsche Bank have also resolved to implement a capital increase from authorized capital against cash contributions. The gross proceeds from the issue are expected to be at least €9.8bn.

The capital increase is primarily intended to cover capital consumption from the planned Postbank consolidation, but will also support the existing capital base to accommodate regulatory changes and business growth, said Deutsche Bank.

Deutsche Bank chairman of management board and the group executive committee Josef Ackermann said that through this capital increase, Deutsche Bank intends to secure the equity capital required for a planned consolidation of Postbank.

“As a result, we can expand our strong position in our home market, take a leading position in the European retail banking business and significantly enhance Deutsche Bank’s revenue mix,” Ackermann said.

“Furthermore, with this capital increase we are strengthening the bank’s equity capital in light of expected regulatory changes. The takeover offer to the shareholders of Postbank allows us to minimize the total costs of the acquisition.”