(Bloomberg) -- Deutsche Bank AG's biggest shareholder cut its stake in the lender, it disclosed Saturday, after saying in February that another reduction wasn't planned.
HNA Group Co., a troubled Chinese conglomerate, reduced its holdings to 7.9 percent from 8.8 percent as it allowed portions of a complex derivatives arrangement, which it uses to finance its stake, to expire, according to a regulatory filing.
“Due to the current market environment we have decided not to renew a part of the financing structure for our stake in Deutsche Bank and have as a result slightly reduced our stake,” a spokesman for HNA said by email. “Our commitment to remain a major investor in Deutsche Bank remains unchanged.”
The reduction comes amid an attempt by HNA to raise $16 billion by selling assets to deal with financing problems in China. The company cut its stake in February, and said at the time that another reduction “is not planned.”
To contact the reporter on this story: Steven Arons in Frankfurt at sarons@bloomberg.net.
To contact the editors responsible for this story: Dale Crofts at dcrofts@bloomberg.net, Steve Geimann
©2018 Bloomberg L.P.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
