Deutsche Bank Reviews Capital Raising as Option for Overhaul
- Lender is concerned that fundraising would trigger backlash
- Company aims to slash the capital allocated to trading unit
People sit at restaurant roof terrace with the skyline and finance district of Frankfurt
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Deutsche Bank AG is considering options including a capital increase as part of a wider overhaul it plans to unveil in the next two months, people with knowledge of the matter said.
Tapping investors for fresh cash is the least favored option because management is aware that it could trigger a backlash in light of Deutsche Bank’s low stock price, said the people, who asked not to be identified in discussing ongoing deliberations. Still, the bank hasn’t taken the option off the table as it may be needed to fund substantial cuts to the investment bank.