LONDON, Jan 31 (Reuters) - JPMorgan Chase only wants the non-U.S. operations of RBS Sempra, Royal Bank of Scotland's commodities unit, having previously entered talks to buy the whole business, energy news service Spark Spreads reported.
The change comes after the U.S. government earlier this month proposed tough new rules for the banking sector which would prevent lenders from running their own trading operations.
JP Morgan and RBS are now discussing a deal under which RBS would sell its 51 percent stake in RBS Sempra's U.S. operation back to Sempra Energy, its partner in the joint venture, Spark Spreads said.
That would leave JP Morgan clear to buy the unit's European operations, the publication added, citing unnamed industry sources.
An RBS spokesman said 'constructive discussions' regarding the sale of RBS Sempra were still under way, but declined to comment further.
RBS Sempra is among the assets that RBS, 84 percent state-owned after a series of taxpayer-funded bailouts, was ordered to sell to comply with European Union state aid rules.
JP Morgan entered exclusive talks to buy the business, expected to fetch about $4 billion, around Jan. 20.
Spark Spreads also reported that RBS Sempra chief executive Kaushik Amin resigned on Friday, and had been replaced by co-chief executives Mike Beck and Michael Goldstein.
(Reporting by Myles Neligan; Editing by David Cowell) Keywords: RBS/SEMPRA (myles.neligan@reuters.com: +44 207 542 13 73) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
The change comes after the U.S. government earlier this month proposed tough new rules for the banking sector which would prevent lenders from running their own trading operations.
JP Morgan and RBS are now discussing a deal under which RBS would sell its 51 percent stake in RBS Sempra's U.S. operation back to Sempra Energy, its partner in the joint venture, Spark Spreads said.
That would leave JP Morgan clear to buy the unit's European operations, the publication added, citing unnamed industry sources.
An RBS spokesman said 'constructive discussions' regarding the sale of RBS Sempra were still under way, but declined to comment further.
RBS Sempra is among the assets that RBS, 84 percent state-owned after a series of taxpayer-funded bailouts, was ordered to sell to comply with European Union state aid rules.
JP Morgan entered exclusive talks to buy the business, expected to fetch about $4 billion, around Jan. 20.
Spark Spreads also reported that RBS Sempra chief executive Kaushik Amin resigned on Friday, and had been replaced by co-chief executives Mike Beck and Michael Goldstein.
(Reporting by Myles Neligan; Editing by David Cowell) Keywords: RBS/SEMPRA (myles.neligan@reuters.com: +44 207 542 13 73) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
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