Commerzbank plans to lay off around 9% of its workforce in a bid to boost profitability and convince investors of its standalone prospects as it fends off an unwanted approach from Italy’s UniCredit.Germany’s leading lender for small and medium-size companies outlined a fresh strategy to defend its independence as UniCredit’s attempts to engineer a merger are slowed down by political opposition and pending elections.

Commerzbank said on Thursday it would cut 3,900 jobs and unveiled more ambitious financial targets as part of a strategy revamp designed to head off UniCredit's advances for a tie-up between the German and Italian lenders.

Thursday said that it would cut 3,900 full-time equivalent positions by 2028, as it looks to stave off any takeover bid by Italy's UniCredit.