Bank Forum’s Market Share to Double in 4 Yrs

According to Interfax, German Commerzbank, which acquired a 60%+1 stake in Bank Forum (FORM: BUY), announced that it expects Forum to double its market share from its current 2.6% over the next four years. Alexander Viktorov: Given our assumption of 30% growth in the banking sector until 2012, the new owner’s goals imply asset growth at 55% 4Y CAGR to USD 16.6 bln. Successful implementations of the plans could be a strong catalyst for the stock as Commerzbank’s targets for Forum exceed our more moderate asset estimate over the period by 42% (USD 11.7 bln).