Nov 7 (Reuters) - Australia's Macquarie Group Ltd is set to make an $800 million all-cash offer for Lloyds BankingGroup's Scottish Widows asset management arm in thenext two weeks, which could push Aberdeen Asset Management outof the race, the Wall Street Journal reported.
Aberdeen said last month it was in talks to buy ScottishWidows Investment Partnership (SWIP) from Britain's Lloyds.
Under the agreement, part state-owned Lloyds would end upowning a stake in Aberdeen as payment, along with deferred cashpayments conditional on the business's futureperformance.
However, Aberdeen's plan to issue shares has diminished itsattractiveness, the Journal said in its report citing peoplefamiliar with the matter. It added that Lloyds is expected tomake a decision on the sale by Nov. 22. ()
Lloyds hired Deutsche Bank in April to advise on the sale ofthe business, which according to analysts would help the lendermeet regulatory demands to raise more capital.
UK banks are having to consider further disposals after theBank of England said they must raise extra capital by the end ofthe year, to be in a position to absorb future loan losses.
Lloyds declined to comment on the matter and Macquarie Groupcould not be reached outside regular business hours.