Monday, August 6, 2012

Knight Capital 'is close to rescue deal'

An IT glitch on Wednesday caused its trading to go haywire, losing it $440m.

Knight Capital is a major market-maker on the New York Stock Exchange (NYSE), which means it helps make sure there is a market for particular shares if investors want to buy or sell.

The rescuers are reported to include Blackstone Group and TD Ameritrade.

The Chicago-based market-maker Getco and financial services companies Stifel Nicolas, Jefferies Group and Stephens Inc are also reported to be involved.

The consortium is expected to end up owning between 70% and 75% of Knight Capital.



Source & Image : BBC

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