UBS Warburg has pulled the plug on the online energy trading platform it acquired from Enron and begun laying off employees.
The investment bank is closing down UBSWEnergy.com and its offices in Houston as it consolidates the business with similar activities in Stamford, Connecticut. UBS Warburg acquired the business from Enron and relaunched it under its own brand in February this year.
The decision to shut down the operation follows a steep decline in the energy trading markets, and the closure of other large traders. UBS is offering relocation packages to 90 of the 380 staff employed in Houston.
The transition to the new location is expected to be completed early next year. In the interim, UBS says it will continue to offer trading and marketing via telephone.