Deutsche Bank was set on Sunday to confirm merger talks with fellow German lender Commerzbank, according to a person with knowledge of the matter, an indication that efforts to combine the two businesses were gaining pace.
Formal disclosure of talks increases the chances of concluding a tie-up between the nation's two largest banks.
A merger has long been the subject of speculation and the German government has pushed for it given concerns about the health of Deutsche which has struggled to generate sustainable profits since the 2008 financial crisis. The government holds a stake of more than 15 percent in Commerzbank following a bailout.
Earlier this month a person with knowledge of the matter told Reuters that the management board of Deutsche had agreed to hold talks with Commerzbank on the feasibility of a merger.
"We are going to seriously evaluate a merger," said a person with knowledge of the matter on Sunday.
"But there is no guarantee that there will be a deal in the end," the person said.
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