Guggenheim Ends Talks to Purchase DB Advisors

14 May 2012 (PLANSPONSOREurope.com) – Deutsche Bank and Guggenheim Partners have “mutually agreed” to end exclusive negotiations about a potential sale of DB Advisors, the global institutional asset management business. 

According to Reuters, Guggenheim Partners' talks to buy a full range of asset management businesses from Deutsche Bank  for 1.4 billion euros ($1.81 billion) have fallen apart after the German lender withdrew an offer to guarantee the unit's revenue. 

Deutsche and Guggenheim had been in exclusive talks since February on the sale of a range of asset management businesses. 

Deutsche Bank said negotiations would now focus solely on the possible sale of RREEF, the bank’s global alternative asset management business.  

Deutsche told the newswire it would also continue to evaluate the remaining asset management businesses and was committed to maintaining the stability of its investment teams and client service in the meantime. 

Deutsche Bank said in a statement, "The bank and Guggenheim Partners mutually agreed to end exclusive negotiations about a potential sale of DWS Americas, the mutual fund business in the Americas; DB Advisors, the global institutional asset management business; and Deutsche Insurance Asset Management, the global insurance asset management business." 

The RREEF business has around 47 billion euros in assets under management, making it only around one-tenth the size of the businesses Deutsche had put up for sale. 

Guggenheim is a privately held financial services firm based in New York that oversees more than $125 billion. 

Katherine Blackler
editors@plansponsoreurope.com