The Newspaper - Commerzbank and Dresdner Bank can unite this week

/INTERFAX-AFI, Frankfort on the Main, August 26, 08/ - Commerzbank will try to reach agreement on purchase of Dresdner Bank from Allianz till the end of this week and is ready to ask the Supervisory Board to approve this plan, The International Herald Tribune informed with reference to the source, connected with the deal. If they came to agreement, as a result of merge of two and third major banks of Germany, the new strong competitor will appear for the largest Deutsche Bank. Besides, the deal will allow Allianz to get rid of unsuccessful combination of underwriter with investbnank, which was conducted 7 years ago and arouse negative reaction of investors due to increased losses. Commerzbank negotiations on purchase of Dresdner Bank have been conducted since June, but during last weeks new signs of life appeared. The thing that Commerzbank plans to organize special session of Supervisory Board, is the sign of critical stage of negotiations, is said in the article. The decision of Supervisory Board is necessary for approving any huge deals of the bank, foe example purchasing of Dresdner Bank. One of the sources, connected with the deal said that Commerzbank is preparing to announce the deal. Capitalization of Dresdner Bank makes about EUR13 bn., what is twice less than Deutsche Bank's. By results of Monday trades, shares of Allianz grew by 1 %; securities of Commerzbank lost 2 %. [2008-08-27]