Commerzbank officials threaten bitter fight with UniCredit

By Tom Sims and John O'Donnell

FRANKFURT (Reuters) -Commerzbank supervisory board members on Tuesday voiced fierce opposition to a takeover of the German bank by Italy's UniCredit, vowing they were in for a long fight with UniCredit's CEO Andrea Orcel.

Speaking in front of Commerzbank's headquarters in central Frankfurt, deputy chairman Uwe Tschaege, flanked by three fellow board members and dozens of employees carrying signs of protest, said the message was clear. "We don't want this," he said.

"I feel like vomiting when I hear his promises of cost savings," Tschaege added, referring to Orcel.

The protest marked the latest volley in the potential takeover battle pitting Orcel's ambitions for a tie-up against deep reluctance from Commerzbank and the government in Berlin.

UniCredit, whose CEO has said he would be interested in a tie-up between the banks, on Monday said it was preparing to increase its stake in Commerzbank to 21%. But German Chancellor Olaf Scholz slammed the move as "an unfriendly attack".

The gathering on the steps of the German bank's headquarters adds to an increasingly vocal campaign by employees to sway public opinion against a deal.

Stefan Wittmann, another member of the supervisory board, said Orcel was unreliable and should be prepared for a long fight.

"This takeover debate will not be over until the last argument has been exchanged and the last barrier has fallen. And there is a very, very long way to go until then. Mr. Orcel should be prepared for this".

Wittmann said that the government could find another investor who would help keep the bank independent.

"Orcel is not the only one with deep pockets," he said.

Protestors blew whistles in support of the board members' antagonism, carrying signs that read: "Stop the merger horror" and "We are better off alone".

(Writing by Matthias Williams; Editing by Madeline Chambers and Louise Heavens)