GERMANY - Kas Bank, the Dutch securities bank, today announced it has entered into discussions on an exclusive basis with Delta Lloyd Deutschland AG to take over fund administration activities in Germany.

The insurer Delta Lloyd told IPE today it wants to centralise its asset management to the Netherlands, as part of which means the group has entered into discussions with Kas Bank to outsource "a part of asset management that is not directly necessary for our own activities."

The institutions say they are presently in "an advanced stage of discussion on an exclusive basis" about the possible takeover of Delta Lloyd's German fund administration activities.

Kas Bank said in a statement this morning: "Taking over fund administration activities in Germany perfectly matches Kas Bank's dedication to build a strong position as an independent specialist in wholesale securities services in Germany, one of the most important institutional markets of Europe."

A spokesman for the Dutch bank told IPE today if an agreement is reached, the operation would be conducted by Kas Bank's Frankfurt office, which it opened in the second half of last year.

The Dutch bank, which recently proposed Jean Frijns, former director of investments at Dutch pension fund ABP, as a new supervisory director, has previously announced it wants to expand, particularly in the UK and Germany.

The spokesman added the exclusive discussions with Delta Lloyd are a consequence of these previously announced expansion plans.

If you have any comments you would like to add to this or any other story, contact Carolyn Bandel on + 44 (0)20 7261 4622 or email carolyn.bandel@ipe.com