Macquarie Group is planning to buy Scottish Widows Investment Partnership (SWIP), an arm of Lloyds Banking Group, for approximately £500 million (US$850 million), reported the Wall Street Journal.

Aberdeen Asset Management was recently in talks to buy the unit from Lloyds.

Aberdeen’s plan to issue shares to Lloyds to finance the purchase of the unit has diminished the deal’s attractiveness, reported the Journal.

Lloyds is expected to decide on Macquarie’s offer by 22 November.

In April, Lloyds has hired Deutsche Bank to advice on this business sale to meet regulatory demands to raise more capital.

Macquarie plans to add SWIP to its Macquarie Funds Group, which manages around $381 billion.