Italy’s UniCredit said on Wednesday it had used more derivatives to boost its potential stake in Commerzbank to 28%, as markets watched to see whether the bank would make a move to acquire the German lender. bank.

This marks an increase from the previous 21% shareholding.

Italy’s second-largest bank said its ownership now includes a 9.5% direct stake and about 18.5% held through derivatives.

UniCredit has applied to the European Central Bank to acquire up to 29.9% of the German bank’s shares, while CEO Andrea Orcel is also seeking to acquire a stake in Italian peer Banco BPM.

“The move reinforces UniCredit’s view that there is tremendous value within Commerzbank that needs to be crystallized,” UniCredit said in a press release on Wednesday. “It reflects a strong commitment to Germany, German businesses and communities confidence, and the importance of a strong banking sector in driving the German economy.”

The bank stressed that its current position remains that of a “pure investment” and will not affect its offer for Banco BPM.

Commerzbank said it had “taken note of the announcement” but declined to comment, noting only that its strategy was currently being upgraded and would be disclosed on February 13.

This breaking news story is being updated.

— CNBC’s Greg Kennedy contributed to this report.