Knight Capital (KCG) Decision on Sale Expected This Week
Tweet
Share
E-mailGet Alerts KCG Hot Sheet
Join SI Premium – FREE
Knight Capital (NYSE: KCG) is on the upswing Tuesday amid news that it might be close to a merger agreement.
According to Bloomberg, Knight's board is meeting again to weigh recent proposals from Virtu and Getco, with a decision possibly to be announced within a few days.
Submissions began in late November following a drop in Knight Capital shares from faulty trading incurred in August. Getco's cash-and-stock bid values Knight at $3.50 per share whereas Virtu's all-cash offer is $3 per share.
Both bids have benefits; Getco's is a two-step reverse merger which allows Knight to remain public, while Virtu's is a quick-cash deal, something shareholders would like and is more likely to be completed.
Yesterday, reports had Knight trading teams shopping themselves around as expectations are that Knight will need to divest non-core operations in either case: merger or none. For more color on that, click here.
Knight is up 0.6 percent early.
According to Bloomberg, Knight's board is meeting again to weigh recent proposals from Virtu and Getco, with a decision possibly to be announced within a few days.
Submissions began in late November following a drop in Knight Capital shares from faulty trading incurred in August. Getco's cash-and-stock bid values Knight at $3.50 per share whereas Virtu's all-cash offer is $3 per share.
Both bids have benefits; Getco's is a two-step reverse merger which allows Knight to remain public, while Virtu's is a quick-cash deal, something shareholders would like and is more likely to be completed.
Yesterday, reports had Knight trading teams shopping themselves around as expectations are that Knight will need to divest non-core operations in either case: merger or none. For more color on that, click here.
Knight is up 0.6 percent early.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- XPeng Inc. (XPEV) Plans To Launch Humanoid Robot Globally Next Year - WSJ
- PayPal rallies 20% on report Stripe, Advent made $53 billion bid
- Trump To Discuss Foreign Interference In 2020 Election - MS Now
Create E-mail Alert Related Categories
Mergers and Acquisitions, Trader TalkSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
