Deutsche Bank Buys Numis For £410M, Boosts UK Investment Banking Business

Deutsche Bank AG DB disclosed the acquisition of Numis Corporation Plc in the U.K. for around £410 million.
The acquisition amount translates to over $511 million. The 350 pence per share offer represents a nearly 72% premium to Numis' Thursday closing price on the London Stock Exchange.
Numis' largest shareholder has agreed to vote in favor of the deal, which is expected to close in Q4 2023.
Upon deal closure, DB expects the transaction to be accretive to EPS from 2024 and projects an attractive return on regulatory capital consumed. The company expects the CET1 ratio impact at closing to be approximately (9) basis points.
Numis is a prominent U.K. corporate broking and advisory house, offering strategic advice and capital market connectivity to 166 retained corporate broking clients, including 64 clients in the FTSE 350 (representing almost 20% of the index).
The transaction will enable DB to combine its existing U.K. and Ireland corporate finance business with Numis and boost its position in the U.K. investment banking domain.
The news, which is at par with DB's Global Hausbank strategy, follows yesterday's announcement of headcount reduction and upbeat Q1 earnings.
"We have been evaluating how to accelerate the growth of our business in the UK and, as a leading UK franchise with a long history of successfully delivering superior client service and growth, Numis represents a compelling strategic fit. The combination enables us to realise greater revenue opportunities across our shared client base and to deepen our engagement with UK corporates," said Fabrizio Campelli, Head of Corporate Bank and Investment Bank.
Price Action: DB shares are trading lower by 0.27% at $10.88 premarket on the last check Friday.

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