US buyout house The Blackstone Group is preparing one of its first buyouts in the financial services sector after holding talks with independent boutique Close Brothers.

Blackstone declined to comment but sources close to the talks said one of its managing directors, David Blitzer, was in talks with Close Brothers on Friday about a deal. Close Brothers has been a target for stockbroker Cenkos, which teamed up with Iceland’s Landsbanki in November to make an indicative offer of £9.50 per share to value Close at £1.1bn.