KBL is in advanced takeover talks with Bank am Bellevue, two people familiar with the situation told finews.com. The move comes as ex-UBS wealth boss Juerg Zeltner officially takes the helm of the Luxembourg wealth manager.

KBL European Private Bankers and Bank am Bellevue are in advanced discussions over a takeover of the Swiss bank, two sources familiar with the matter told finews.com. KBL hopes to tie up the Swiss deal before month-end, one of the persons said. 

The move comes as Juerg Zeltner formally clinches the European approval necessary to take the helm at KBL, a 72 billion euro ($80 billion) private banking house owned by Qatar's ruling al-Thanis as a private investment.

Failed Wealth Ambitions

A spokesman for KBL confirmed Zeltner's approval by the European Central Bank. He declined to comment on Bank am Bellevue. Zeltner, who ran UBS' private bank until last year, took a stake in KBL, a network of private banks in Europe and the U.K., including Germany's Merck Finck and Brown Shipley in the U.K., earlier this year.

Zeltner made clear his ambitions to bulk up KBL when his stake purchase and appointment were disclosed three months ago. For the Swiss bank, the deal represents its failed attempt to kickstart growth through wealth management initiated earlier this year.

Employees, Regulator

A third person with knowledge of the talks said the advanced talks center on Swiss regulatory approval as well as discussions over Bellevue employees. «If everything was already clear, it would probably be signed already,» this person said. Consulting firm PWC is advising the seller, this person said.

All three people said the talks had advanced quickly. finews.com in June reported that KBL, under Zeltner, was swooping in to take over Bellevue. A spokesman for Bellevue referred to the bank's statement at the time, saying it is reviewing strategic options.

Swiss Springboard

Switzerland represents a gap in KBL's European plans: Bellevue would represent a relatively swift and economical way to a Swiss banking license. It also provides a springboard into the world’s largest offshore banking market – Switzerland. 

Jacob Stott, who ran UBS' European private banking arm under Zeltner, also received ECB approval, the spokesman for KBL said. The Luxembourg wealth manager, which in June snapped up a U.K. wealth boutique, offloaded its Swiss bank under previous management four years ago to Banque Internationale a Luxembourg.