Investment house Jefferies Group (NYSE:JEF) may fully acquire fellow investment bank Oscar Gruss by year-end, highly-placed sources in the Israeli capital market told TheMarker.com.

The details of the transaction are not known. Oscar Gruss Israel manager Adan Parnes confirmed the news, but declined to provide fuether details. He said an official announcement will be made shortly.

The two houses have signed a clearing agreement. Oscar Gruss stockholders granted Jefferies Group an option to buy all their shares by year-end.

Oscar Gruss, a privately-held company, is located on Wall Street itself. It was established in 1918 by the Gruss brothers Oscar and Emanuel. The Gruss family has retained its shares so far.

Jefferies Group, headquartered in Los Angeles, trades at a market cap of around $971 million. It serves as a holding company for Jefferies & Co, Jefferies International and Jefferies Pacific. The group maintains offices in the U.S., Europe and Asia.