National Discount Brokers Group, Inc. (NYSE: NDB) gained 5 to close Thursday at 29 1/2 after announcing that Deutsche Bank (OTC: DTBKY) would buy a 13.9 percent stake as part of a previously disclosed global e-commerce alliance. The deal is set to close by June 30th.
The companies plan to offer online brokerage services outside the United States as part of the alliance, which also gives NDB access to the German bank’s U.S. equity research and initial public offering services. Deutsche Bank, in return, gains access to NDB’s online brokerage technology.
Deutsche Bank is buying 3 million shares directly from NDB, equal to a 14.3 percent equity stake, at $45.31. The purchase, which boosts Deutsche Bank’s stake in the company to 16 percent, gives NDB gross proceeds of $135.93 million. The remaining 3.3 percent may be acquired in the open market.