Seifert in new Stock Exchange action

DEUTSCHE Borse chief executive Werner Siefert has drafted in Deutsche Bank to boost his cash pile ahead of an expected formal bid for the London Stock Exchange.

Deutsche Bank is to work alongside existing bid adviser Goldman Sachs to help arrange finance for the offer which could come as soon as this week. The two banks worked together on Deutsche's failed bid for the LSE five years ago.

Siefert has always maintained that he already had funds in place to finance his 530p-a-share offer. But this latest development suggests that he may be willing to bid higher - a move reflected in LSE's current share price, down 4½p at 575½p.

Deutsche Bank refused to comment. And Deutsche Borse's official spokesman also declined to comment, but sources close to the German exchange confirmed that Deutsche Bank would be involved in the financing.

The news will not make happy reading for disgruntled Deutsche Borse investors whose ranks swelled at the weekend as Standard Life came out in support of shareholders TCI and Atticus.