Deutsche Bank AG Inc. (DB) shares are trading lower on Monday after a Bloomberg report revealed a shareholder is preparing to sell 16 million shares, valued at approximately $279 million, of the German lender. This move comes amid a broader trend of sell-offs in European companies as investors aim to capitalize on high stock prices.
According to Bloomberg, the single shareholder is offering to sell around 16 million shares at a price of 16.01 euros ($17.46) per share. The transaction could generate roughly 256 million euros ($279 million) in gross proceeds for the seller. Goldman Sachs is handling the deal, while Deutsche Bank has declined to comment on the matter.
This development is noteworthy as it comes just ahead of Deutsche Bank’s third-quarter earnings release, scheduled for October 23rd, before the market opens. Analysts are expecting the bank to report estimated earnings per share of 58 cents and revenue of $7.820 billion.
The shareholder’s decision to sell may be driven by a desire to lock in profits as the bank’s stock price climbs. It remains to be seen how this sale will impact the bank’s share price in the near future. However, the sale highlights the current sentiment in the European market, where investors are looking to capitalize on gains in the face of potential economic uncertainty.
Since early September, nearly $11 billion worth of deals have been priced, with banking institutions like Commerzbank, National Bank of Greece, and Santander Bank Polska also seeing significant shareholder exits. This trend suggests that a wave of sell-offs may continue in the coming months, potentially impacting the stock prices of other European companies.
At the time of writing, Deutsche Bank shares were down by 1.80% at $17.44, according to Benzinga Pro. Investors will be closely watching the bank’s earnings release on October 23rd to see if the sale impacts the bank’s financial performance and future prospects.