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Hamburger Volksbank in merger talks with Volksbank Lübeck

German cooperative lender Volksbank Lübeck eG said Jan. 6 it had entered talks regarding a potential merger with larger sector player Hamburger Volksbank eG.

A tie-up will strengthen the business of both banks in the Hamburg region and is a logical step given their aim to continue innovating and adapting to new market challenges, Michael Brandt, executive board member of Volksbank Lübeck said in a statement.

The merger negotiations will focus on market and cost benefits for the banks as well as the changing customers' needs. The two institutions will also take their employees' view into account, Brandt said, adding that none of the staff members should worry about losing their jobs.

As of 2019-end, Hamburger Volksbank employed 445 people and had total assets of €3.92 billion, while Volksbank Lübeck's headcount stood at 190 people and its total assets amounted to €950 million.