Business Combinations

 (unaudited)

Xchanging Transaction Bank

On September 2, 2013, Deutsche Bank AG announced that it completed the purchase of the remaining 51 % of the shares in its joint venture Xchanging etb GmbH (“Xetb”), which is the holding company of Xchanging Transaction Bank GmbH (“XTB”). The purchase price paid for the step-acquisition consists of a base component of € 41 million, subject to certain adjustments. Of that amount, € 36 million was paid as cash consideration by the acquirer. The remaining € 5 million was paid by XTB to the seller, Xchanging plc., in the course of closing the transaction, which resulted in a reduction of the acquired net assets.

The acquisition accounting was finalized in the second quarter 2014, resulting in a net increase of the purchase consideration paid and a corresponding increase of goodwill recognized of € 1 million each. Accordingly, the final amount of goodwill originating from the transaction amounted to € 38 million, which has been allocated to PBC (€ 25 million), GTB (€ 6 million), CB&S (€ 5 million) and DeAWM (€ 2 million). The reconciliation of the total purchase consideration and the opening balance sheet as of the acquisition date were as follows:

Fair Value of Assets Acquired and Liabilities Assumed as of the Acquisition Date

in € m.

 

1

By major class of assets acquired and liabilities assumed.

Cash consideration transferred

36

Fair value of pre-existing stakes

21

Deduction for settlement of pre-existing relationship

(8)

Total purchase consideration, including fair value of the Group’s equity interest held before the business combination

50

 

 

Recognized amounts of identifiable assets acquired and liabilities assumed1

 

Cash and cash equivalents

6

Financial assets available for sale

24

Intangible assets

6

All other assets

31

Provisions

22

All other liabilities

34

Total identifiable net assets

12

Goodwill

38

Total identifiable net assets and goodwill acquired

50