Danske Bank Gains as Cevian Increases Stake: Copenhagen Mover
Stock Chart for Danske Bank A/S (DANSKE)
Danske Bank A/S (DANSKE), Denmark’s biggest lender, rose in Copenhagen trading after Cevian Capital AB, the fund which co-invests with billionaire Carl Icahn, boosted its stake to more than 9 percent.
Danske rose as much as 1.2 percent to 107.40 kroner and traded at that price at 10:34 a.m. in the Danish capital with volume at 115 percent of the three-month daily average. The stock lost 4.7 percent yesterday when Realdania sold 52 million shares in an accelerated bookbuild.
Cevian, which last month said Danske could become one of the “strongest and most profitable” Nordic banks, bought a “large part” of Realdania’s offered shares, Lars Foerberg, a partner at the Stockholm-based fund, said today. Realdania, which now owns 4.87 percent of Danske, has said it wanted to reduce its exposure to the bank. It raised 5.5 billion kroner ($955 million) in the sale.
“Cevian is buying more to show they believe in the investment, convincing others to buy more as well,” Christian Hede, an analyst with Jyske Bank A/S, said by phone. “Cevian wants to show commitment to their investment.”
Hede, who’s based in Silkeborg, Denmark, has a strong buy recommendation on the stock.
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