Deutsche Bank Shares Tank 6% after $8.5b Rights Issue Plans
Photo: Reuters, Deutsche Bank Headquarters in Frankfurt

Shares of Deutsche Bank, the biggest German lender by assets, are tanking 6 percent in early Monday morning trading. The company announced on Sunday that it is planning to raise up to $8.5 billion (€8 billion) in new capital to finance a major overhaul of its business operations.

As part of the restructuring, the firm announced that it intends to dispose of its Deustche Asset Management business. Instead, the German lender will combine its Corporate Finance, Global Markets and Global Transaction Banking units.

The firm intends to offer up to 687.5 million new shares in a rights issue underwritten by Credit Suisse, Barclays, Goldman Sachs, BNP Paribas, Commerzbank, HSBC, Morgan Stanley and UniCredit. The subscription to the offering is starting on the 21st of March and ends on April…