Struggling Deutsche Bank raises fresh capital

Germany's troubled lender Deutsche Bank (IOB: 0H7D.IL - news) said Friday it successfully raised 8.0 billion euros in fresh capital, as part of its efforts to get back on track after two straight years of losses.
Deutsche Bank said it had issued 687.5 million new shares at 11.65 euros apiece.
Some 98.9 percent of the new shares on offer were taken up, amounting to the equivalent of around $8.5 billion in new capital for the group, it said.
The hike, had it been completed at the end of last year, would have improved the bank's capital ratio -- an indicator of solvency -- to 14.1 percent rather than 11.8 percent.
Deutsche Bank has been struggling to reverse its fortunes since the 2008 financial crisis, as lawsuits piled up while its revenues were sharply hit by tougher regulatory costs.
Its reputation has also taken a serious knock after it was found to have been embroiled in the fraudulent selling of residential mortgage-backed securities as well as in the rigging of key interest lates.
In January, it reached a record $7.2 billion settlement with the United States for its role in the 2008 financial meltdown.
The bank reported a net loss of 1.4 billion euros for 2016, its second straight annual loss.

Source: AFP