Commonwealth Bank of Australia (CBA) today announced it is in talks to buy BankWest from its parent, Halifax Bank of Scotland (HBOS).
The parties were yet to reach an agreement and the exclusive discussions were continuing, a CBA statement to the Australian Securities Exchange said.
Media reports last week suggested CBA had lodged a $3 billion bid for BankWest, which was reportedly knocked back by United Kingdom-based HBOS as too low.
The discussions suggest British bank Lloyds TSB, which agreed to buy HBOS for $27 billion on September 18, is looking to sell units in order to boost the combined group's capital.
BankWest, predominantly based in Western Australia, rolled out BankWest Financial Planning this year to complement the 160 retail branches it has planned for Australia's east coast over the next three years.
BankWest Financial Planning had 25 advisers and planned to recruit 100 overall by 2010, BankWest head of financial advice Lisa Livis told InvestorDaily in June.
Commonwealth Financial Planning in contrast had 730 planners at the end of June.
