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US: BCG launches bidding war for rival broker merger

 |  September 9, 2014

Interdealer broker BGC Partners said Tuesday it is planning to lodge a counter bid to acquire rival GFI Group at a value that will top a competitor’s price for the company.

According to reports, BCG will offer a $675 million hostile takeover offer for GFI to acquire the company and beat out CME Group, which first made moves to acquire the company in July. BCG said its offer is more than 15 percent above its rival’s.

Reports say a wave of consolidation has hit the interdealer broker industry in the wake of recent regulations that has impacted trading activities.

If BGC wins the bidding war to acquire GFI, the combined company would jump to the number two position in the industry. ICAP is the world’s largest interdealer broker, say reports.

Full content: Reuters

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