Royal Bank of Scotland
RBS, 83 percent owned by the government after a state bailout during the 2008 credit crisis, said the sale of the Hoare Govett corporate broking operations and transfer of certain other cash equities professionals to Jefferies was for a nominal cash consideration.
RBS added that the deal was expected to be completed by the end of the first quarter.
The sale of Hoare Govett is part of a drastic cut of RBS' investment banking operations, with the Scottish bank set to cut thousands of jobs at the division and possibly sell off more investment banking businesses.
Jefferies said the acquisition would help it further develop its presence in Britain.
RBS nearly collapsed in the aftermath of its ABN AMRO takeover, and had to be bailed out with 45 billion pounds of taxpayers' money.
(Reporting by Sudip Kar-Gupta; Editing by Elaine Hardcastle)