NEW YORK (TheStreet) -- Deutsche Bank announces plans to issue 360 million new shares that will raise nearly $11 billion in capital.
Shares of Deutsche Bank (DB) were slipping in Monday trading after the bank announced an 8 billion-euro, or nearly $11 billion, capital increase.Deutsche Bank plans to issue 360 million new shares, 60 million of which are being purchased by the royal family of Qatar for about 1.7 billion euros. The bank said it plans to raise another 6.3 billion euros in a rights issue to existing shareholders. The move will increase the bank's Common Equity Tier 1 ratio to 11.8% from 9.5% at the end of the first quarter. The ratio is considered a measure of a bank's ability to withstand stress. The bank said it plans to invest in improving technology at its German and European retail operations and expand its wealth management team in emerging markets by 15% over the next three years. At last check, shares of Deutsche Bank were slipping almost 2% to $41.35. In New York, I'm Brittany Umar for TheStreet. Written by Brittany Umar in New York.
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