Deutsche Bank has signed a definitive agreement to acquire JPMorgan Chase's depository and clearing centre in the UK. Financial terms of the deal were not disclosed.
In a statement Deutsche Bank says it will acquire JPMorgan's UK-based Depository and Clearing Centre (DCC), which administers assets of more than $180 billion.
The centre supports the London Money Market and provides issuing and paying agents as well as clearing and settlement and custody services for certificates of deposit. Its clients include UK banks and building societies, European financial institutions and global custodians.
Howard Topf, head of global debt services at Deutsche Bank's global transaction banking division, says: "The acquisition of the DCC helps strengthen our range of services for money market instruments and enables us to offer DCC services to our own clients."
The transaction is subject to regulatory approval.
Deutsche Bank says the acquisition will not affect JP Morgan's activities in the European and US commercial paper markets.
A spokesperson from JPMorgan Chase told Reuters reporters that the deal will see the transfer of around 30 staff to Deutsche Bank. The US bank inherited the business as part of its 2004 acquisition of BankOne and the sale allows JPMorgan to concentrate on its international commercial paper business.