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FRANKFURT, Germany (AP) — Germany's Deutsche Bank is offering to buy back more than $5 billion worth of its own bonds in a show of financial strength after markets sold off its stock.
The Frankfurt-based bank, Germany's biggest, said it would offer to repurchase 3 billion euros ($3.4 billion) in euro bonds and $2 billion in dollar bonds.
The bank said in a news release that its "strong liquidity position" meant it could make the purchases to reduce its outstanding debts without changing its funding plans.
Investors had sold off Deutsche Bank stock after it reported a yearly loss of 6.8 billion euros on Jan. 28. The slide continued after concerns arose about whether the bank could make payments on complex financial instruments due April 30.
The bank has said it has the money for the payments, and Deutsche Bank co-CEO John Cryan has said the bank's finances are "rock-solid."
Confidence in European bank shares had eroded after four shaky Italian banks were bailed out in November.
Deutsche Bank's shares rose over 8 percent to 14.82 euros in midafternoon trading Friday in Europe. They had fallen by 41 percent since the start of the year to a low on Tuesday of 13.23 euros.
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