RealTime IT News

Deutsche Bank Ups NDB Stake

German investment bank Deutsche Bank Thursday upped its stake in National Discount Brokers Group Inc., purchasing another $136 million of the online broker's shares.

The alliance is part of the parties' previously announced intention to create a global e-commerce and financial partnership.

Deutsche Bank will purchase up to a 19.3 percent stake in NDB, or 3 million shares at $45.31 a share directly from NDB . DB already owned a 1.7 percent stake in NDB. This purchase adds another 14.3 percent share, valued at almost $136 million. The remaining 3.3 percent may be acquired through open market purchases.

The strategic alliance provides NDB with access to DB's U.S. equity research and initial public offering capabilities. DB gains access to NDB's online investor community. The partnership also allows DB to take advantage of NDB's technology platform with the aim of delivering an international online brokerage capability.

The companies intend to jointly create and own online brokerage capabilities outside of the United States.

The deal is expected to close by the end of June.