Deutsche Bank AG could sell its asset management business, DWS Group GmbH & Co. KGaA, to the German insurance giant Allianz Group, Bloomberg reported, citing people familiar with the matter.

Deutsche Bank owns about 78% of the publicly listed company. A tie-up with Allianz' existing active money management arm would result in a business with roughly €1.17 trillion in AUM, the people said.

The discussions are in the early stages and a transaction may not occur, according to the sources.

A sale of that size could free up cash to pursue a potential combination with Commerzbank AG, a possibility that became more concrete March 17 when Deutsche Bank CEO Christian Sewing confirmed the two banks were discussing such a move.