Canadian Imperial Bank of Commerce (CIBC) is in advanced talks to acquire Ameritrade, the US's fifth-largest discount brokerage, for as much as $1.8 billion, according to a report in USA Today.
CIBC is said to be offering between $9 and $10 a share for Omaha-based Ameritrade, although negotiations are still ongoing, reports the paper.
The bank plans to feed Ameritrade services through its Amicus electronic banking arm, which sells no-frills bank products through automated teller machines in large retailers such as Safeway supermarkets and Winn-Dixie stores, says USA Today.
Amicus aims to gain 3 million clients in the next 5 years, up from 550,000 now.