Postbank: BHW purchase completed01/02/2006, 12:00 AM CET
Mandatory offer to small shareholders to be announced / 2006 as year of integration
The purchase of BHW Holding AG by Deutsche Postbank AG was definitely concluded in Frankfurt am Main on Monday. The Postbank conditions for the execution of the contract have been met: all economic connections between BHW and AHBR were severed as was scheduled when the contract was concluded. On October 25, 2005, Postbank acquired a stake of 76.4 percent in the Hameln-based company from the previous majority shareholders, Beteilungsgesellschaft der Gewerkschaften AG (BGAG) and Deutscher Beamtenwirtschaftsbund (BWB). With the acquisition of BHW, the home financing specialist, Deutsche Postbank becomes Germany's leading financial services provider for retail customers.
Postbank now holds over 90 percent in BHW, after the shares held by BHW were withdrawn. It will soon make the outstanding shareholders a mandatory offer in line with legal regulations. The details are to be announced shortly.
Germany's leading financial services provider emerges
To the beginning of the year, Postbank AG took over 850 large branches from Deutsche Post AG. On the basis of its 14.5 million customers, the new Postbank Group emerges as the leading financial provider for retail customers in Germany.
It will employ approximately 25,000 staff and will be the leader on the German market for certain key products, such as home financing, savings and home loans.
Prof. Wulf von Schimmelmann, the Chairman of the Management Board at Postbank, has ambitious plans related to the two transactions, "Together we want to be the Number 1 in Germany. As finance partner for all retail customers and a service partner for companies." He sees a quantum leap in distribution strength. "With an unparalleled network of access routes to customers, the new Postbank Group has a decisive competitive advantage." He intends to deploy it not only to continue the customer growth success story on a sustained basis, but also to increase product sales to existing customers further.
Integration as success factor
In addition to organic growth, integration is the key focus for 2006. Concentrated work is being done on combining the three units of Postbank, BHW and branches to form a powerful financial group. The objective is to implement the integration by the end of 2006, both on an organizational and on an operating basis. Eleven project teams from all parts of the organization are involved. In the first quarter of 2006, a business model is to be developed specifying the organization and process landscape and designating the key positions.