More Than Meets The Eye
But look again. The merger of Deutsche Bank and Dresdner Bank, crosstown Frankfurt rivals for more than a century, will create the world’s largest bank by assets (totaling about 1.2 trillion). Its market capitalization, at about 80 billion, will be one of the richest in Europe. Most important, the deal–a three-way asset-swap between the two banks and Munich insurance giant Allianz–is a milestone in the unwinding of Germany’s system of cross shareholdings, just the kind of restructuring the country needs to get its economy firing on all cylinders....