Dresdner Bank

is in talks to buy U.S. investment bank

Wasserstein Perella

in a deal that could be worth between $1.2 billion and $1.5 billion, according to

The Wall Street Journal

, citing people familiar with the matter.

A deal between the two would increase Dresdner's presence in mergers and acquisitions in the U.S. Wasserstein Perella is the fifth-largest merger-and-acquisition adviser in the country, and Dresdner's investment house

Dresdner Kleinwort Benson

is fourteenth.

The

Journal

reported that although merger talks are in advanced stages, the companies still have not agreed on a price, so talks could still collapse.

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The talks follow on the heels of several major deals in financial services.

Credit Suisse First Boston

announced last month that it is

buying

Donaldson, Lufkin & Jenrette

(DLJ)

. And in

July Swiss Bank

UBS

agreed to buy

PaineWebber

(PWJ)

.