22 October 2017
visit www.response.ncr.com

Icap seals BrokerTec deal

16 January 2003  |  3051 views  |  0 online bid

Interdealer broker Icap has signed contracts to acquire select businesses of consortium-backed fixed income platform BrokerTec for up to £181 million.

Icap signed a letter of intent to acquire the majority of BrokerTec's trading operations in August 2002. The deal is conditional on regulatory approval in the US, where the Department of Justice has been investigating BrokerTec's operations for evidence of anti-competitive business practices. The probe is expected to be completed in mid-March 2003.

In the nine months to 30 September 2002 the BrokerTec businesses being acquired by Icap (excluding BrokerTec Futures Exchange and BrokerTec Clearing Company) had revenue from electronic broking and data sales of $73.0m and generated a normalised profit before tax of $14.9m.

Michael Spencer, Icap group chief executive, says the acquisition will yeild additional voice broking revenues from increased access to liquidity in benchmark bonds. "Moreover, non-overlapping Icap customers will gain the ability to access the BrokerTec platform and information vendors are expected to value the improved market data generated by the combined business," he adds.

The BrokerTec system has been created around a trading platform provided by OM Technology. Icap says that both the BrokerTec and its own ETC electronic broking platforms will "continue to be used where their specific technologies are appropriate to the markets they serve."

The company expects that there will be integration between the platforms to create a common user interface and to extend a facility for brokers to interact with BrokerTec.

In the longer term says Icap, "there will be increasing use of common technologies in the development of Icap's hybrid electronic and voice broking platforms. These common technologies will provide Icap with a successful electronic broking platform with proven functionality and low operating costs."

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Charles River and TradeWeb combine for fixed income STP interface

Charles River and TradeWeb combine for fixed income STP interface

13 January 2003  |  4476 views  |  0 comments
Moneyline Telerate distributes TradeWeb Euro sovereign data

Moneyline Telerate distributes TradeWeb Euro sovereign data

08 January 2003  |  5193 views  |  0 comments
Icap Australia goes live with Syntegra voice trading system

Icap Australia goes live with Syntegra voice trading system

07 January 2003  |  3384 views  |  0 comments
Reuters extends Icap data deal

Reuters extends Icap data deal

06 December 2002  |  4733 views  |  0 comments
Electronic bond trading shows some stability

Electronic bond trading shows some stability

25 November 2002  |  5348 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.niceactimize.comvisit www.atos.net

Top topics

Most viewed Most shared
Mastercard to roll out blockchain APIMastercard to roll out blockchain API
11427 views comments | 17 tweets | 24 linkedin
HSBC partners Bud for open banking trialHSBC partners Bud for open banking trial
11248 views comments | 22 tweets | 26 linkedin
satelliteGates Foundation backs Ripple collaboratio...
9286 views comments | 13 tweets | 10 linkedin
Sibos 2017: API or the highwaySibos 2017: API or the highway
8354 views comments | 10 tweets | 22 linkedin
IBM uses blockchain to improve cross-border payments processingIBM uses blockchain to improve cross-borde...
8330 views comments | 9 tweets | 18 linkedin

Featured job

Competitive base + commission + benefits
New York City, NY - USA

Find your next job