With Allgemeine Hypothekenbank Rheinboden’s (AHBR) balance sheet of about €75bn – about two-thirds in public sector loans and a third in mortgage loans – Lone Star first had to negotiate a large liquidity facility to replace the emergency measures provided by the German banks and backed by the deposit protection system.
JPMorgan recently followed up an IPO deal for German retailer Metro’s divestment of its DIY business, Praktiker, with an advisory role in the latter’s acquisition of a privately owned competitor. The team tell Edward Russell-Walling about their successive mandates.
Germany’s political battles may be over but the war over reform of the country’s banking sector has only just begun. Jan Wagner reports.While some kind of political truce has been reached in Germany, the real fight for financial reform rages on. By the standards of modern banking systems everywhere, Germany’s three-pillar system of private banks, state-owned savings banks (Sparkassen) and co-operative banks is antiquated and inefficient.