Activists, Including Cerberus, Take 6.9% Stake In Deutsche Bank

Jon Alternative Media, Blogosphere, Market Commentary

The Deutsche Bank story has evolved rapidly this morning: Bloomberg reports that Deutsche Bank had attracted a ‘new top investor’ in the ongoing process of its endless restructuring, then Handelsblatt tweeted that Morgan Stanley acquired a 6.68% shareholding on behalf of activist investors.
The bank confirmed shortly thereafter that the new DB shareholder was Cerberus Capital Management, the New York-based private investment form with $40Bn AUM. Cerberus CEO, Steve Feinberg, owns 3% according to the report, although it’s not clear which parties own the other 3.86% acquired by Morgan Stanley at this stage.
Cerberus specializes in distressed investing which, obviously, is a perfect description of Deutsche Bank’s current circumstances. It was set up in 1992 by Feinberg and William L. Richter, currently senior managing director. Feinberg started his career as a trader at Drexel in 1982 and was described as ‘secretive’ by the New York Times. He famously said to Cerberus shareholders.

This post was published at Zero Hedge on Nov 15, 2017.