Deutsche Bank and Commerzbank attempted merger 5 years ago
Many hurdles but Deutsche closer to reopen merger idea source
German finance ministry says no decision to sell stake
Commerzbank shares biggest gainer among Europe banking stocks

LONDON, Jan 15 Reuters Five years after Deutsche Bank and Commerzbank aborted an attempt to merge, an uncertain outlook for bank profitability and Germany39;s need to plug a hole in its budget have rekindled speculation about a potential deal.

Germany has said it is looking at all options to raise funds by selling stakes in some of the 100 or more companies it owns.

Though a sale of its remaining 15 holding in Commerzbank is not imminent, Finance Minister Christian Lindner is open to a disposal and ultimately would prefer the government exiting the stake, according to a person familiar with his thinking.

A merger with Commerzbank would allow Deutsche Bank to further diversify away from volatile investment banking earnings, bolstering its longerterm stability, another factor that could sway the German government, said the person, speaking on condition of anonymity.

Deutsche Bank, which has completed the bulk of a multiyear restructuring plan, has recently stepped up internal discussions on deals, including possible purchases of banks such as Commerzbank and ABN Amro, Bloomberg News reported on Friday, without naming sources.

Deutsche Bank in recent months has come closer to reopening the idea of a merger with Commerzbank, even…