US bank JP Morgan Chase & Co said on Thursday it has bought full control of JP Morgan Cazenove in a STG1 billion ($A1.8 billion) deal with its joint venture partner, the venerable London financial house Cazenove Group Ltd.
JP Morgan Cazenove, established five years ago, will continue to operate under that name, with David Mayhew remaining as chairman.
CEO Naguib Kheraj will stay on to oversee the integration, JP Morgan said.
"For all corporate clients our business will remain fundamentally unchanged - same people, same client approach, and same brand," Kheraj said.
"In institutional equities, the combination of the businesses will enable us to improve and broaden our service to clients."
Cazenove shareholders will be paid STG5.35 ($A9.63) per share for their 49.99 per cent stake in the joint venture, said JP Morgan, which exercised an option to buy out its partner. The deal is expected to be completed early next year.
The joint venture has felt the impact of the recession, with full-year revenue down 10 per cent in 2008 to STG394.9 million ($A711 million) and pretax profit down 15 per cent to STG134.5 million ($A242.17 million).
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