A more than $1 billion deal under which Principal Financial Group Inc. would acquire Wells Fargo & Co.'s retirement plan service business could be announced later in March, if negotiations end successfully, Reuters reported, citing sources.

The business, which includes Wells Fargo's 401(k) savings accounts business, would help Principal Financial grow a similar business.

The news comes as Wells Fargo works on streamlining its business after the Federal Reserve imposed an asset cap on the bank in February 2018.

Representatives of Principal Financial and Wells Fargo said the companies do not comment on rumors or speculations.