Italy's UniCredito is in talks to buy Germany's HVB Group as it seeks to expand in Germany and in Eastern Europe, sources familiar with the situation said today.
Investment banks Merrill Lynch and JP Morgan are advising Unicredito and HVB respectively, the sources said, adding that any agreement is uncertain and at least weeks away. "There remain issues to overcome," said one source of the talks.
"It could speed up but we won't be seeing an agreement next week."
Merrill and JP Morgan declined to comment.