Brussels, 20/07/2001 (Agence Europe) - The European Commission authorised the merger between the largest life insurance and non-life insurance group Alliance and the third largest German universal commercial bank Dresdner Bank on condition that they reduce links with another "bank-insurance" group, Munchener Re and its subsidiary Ergo. According to the Commission, the latter in fact constitutes a competitor of high importance for the Allianz-Dresdner Bank, which will become the largest banking-insurer in the country. At present, Allianz holds 24.9% of Munchener Ruck and Dresdner Bank 7.4%, or a combined stake of 32.2%. The two partners officially informed the Commission that they would reduce this global stake to 20.5% by the end of 2003 at the latest, and that the did not intend to exercise their voting rights above this same level (20.5%). In the light of this undertaking, the Commission authorised this operation.