Deutsche Bank Top Executives Maintain Stakes in Capital IncreaseBy
Deutsche Bank AG’s top executives stopped short of ramping up their holdings during the bank’s latest capital increase, largely exercising their rights to buy shares to maintain their stakes.
Chief Executive Officer John Cryan purchased 53,357 euros ($56,515) worth of new stock in the offering, which entitled investors to acquire one share for every two owned, Deutsche Bank said in a filing in Frankfurt on Monday. His deputies Christian Sewing and Marcus Schenck bought 211,086 euros and 303,552 euros of stock respectively, the filing shows.
The bank raised 8 billion euros as part of a revised turnaround plan that calls for the integration of the Postbank consumer-banking unit and a reorganization of the investment bank under new leadership. The share sale, the fourth since 2010, may help alleviate concerns about the lender’s financial strength, which contributed to a decline in its market share in the fourth quarter.
Werner Steinmueller, a Deutsche Bank veteran who is now responsible for the Asia-Pacific region on the management board, acquired 464,788 euros of new shares, the most of the eight executives for whom the bank made the disclosure. Karl von Rohr, a former head of human resources in Germany who is now the bank’s chief administrative officer, acquired the least of that group, the filing shows.
Cryan held 9,160 shares in the company on Feb. 17, up from zero the previous year, the lender said in its annual report published last month. Only three other members of the management board had smaller stakes.
Of 11 members on the board at that time, nine had held executive roles longer than Cryan, meaning they had more time to acquire stock. Deutsche Bank has scrapped management board bonuses for two years running, which may have made it harder for the CEO to build a stake.