The German stock market watchdog is investigating Deutsche Bank for its role in the sale of about 44 million shares in Deutsche Telekom, according to the regional state finance ministry in Hesse.
The sale, executed on behalf of a number of Deutsche Bank customers on Tuesday, sparked a sharp drop in the price of Deutsche Telekom shares, which fell to the lowest level in nearly three years. Just a day earlier, Deutsche Bank had reiterated its 'buy' recommendation on the stock.
A report in today's edition of the Financial Times Deutschland had said that Deutsche Telekom was so peeved by the action that it was considering severing its long-standing ties with the bank.
But the Hesse finance ministry said in a statement that the investigation had not come up with 'any concrete results as yet.'
