UBS Warburg is set to take the lead position in European mergers and acquisitions this quarter if the takeover by Allianz, the German insurer, of Dresdner Bank goes ahead.

UBS Warburg is advising Allianz, while Goldman Sachs is advising Dresdner Bank on merger negotiations between the two German financial institutions, according to bankers close to the deal. Dresdner Kleinwort Wasserstein is providing advice to its parent, Dresdner Bank.