Allianz restructures Dresdner Bank

by Gill Montia

Story link: Allianz restructures Dresdner Bank

Munich-based insurance group, Allianz, is restructuring its Dresdner Bank subsidiary, which includes the investment division, Dresdner Kleinwort.

Allianz acquired Dresdner Bank in 2001 and now has plans to create “two fully functioning banks under the Dresdner Bank umbrella”.

The move is aimed at giving Allianz “the necessary flexibility in order to play an active role in the ongoing consolidation of the banking market”.

Since the advent of the credit squeeze, Dresdner Bank’s private and corporate business has reported sound results, however last month Dresdner Kleinwort wrote down €1.28 billion in connection with the US sub-prime crisis.

The division, which employs over 6,000 and has around 2,500 staff at its London offices, has also announced 450 job cuts.

It is not yet clear whether Allianz will sell Dresdner Kleinwort or merge it with a competitor but it is understood that the restructure will allow the business to become a fully independent.