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HVB Plans €1 Billion Acquisition Spree in Germany

Chris Owen 19 June 2007

HVB Plans €1 Billion Acquisition Spree in Germany

Germany’s HypoVereinsbank (HVB) plans to reinvest the one billion euros in new acquisitions in Germany,

Germany’s HypoVereinsbank, a unit of Italian financial group UniCredit, plans to reinvest the one billion Euros raised by share sales in new acquisitions in Germany, according to chief executive officer Wolfgang Sprissler. HVB has booked incomes of €6.5 billion ($8.712 billion) through the optimisation of its group structure, which it plans to reinvest in future acquisitions in the domestic market. The bank said its expansion plans had been approved by UniCredit and would not be limited to any one sector. Acquisition opportunities would be sought across the private banking business, corporate customer activities, wealth management services or a specific product line. The investments are scheduled to take place over the next three years, said Mr Sprissler. If the bank does not invest the entire sum during this period, the money will remain in Germany. Mr Sprissler also denied that the bank would be forced to sell its private and corporate customer businesses if it failed to meet the annual target set by UniCredit.

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