Yes folks, yet another interbank broker being absorbed
This time it's Tullett Prebon being taken over the much larger ICAP who now also own the EBS network
London's Evening Standard newspaper is today reporting sources as saying ICAP will take a major stake in Tullett in what they quote as "the biggest shake-up of the City's broking world for a generation."
Sources said the two companies have been in talks over a deal for some time and it could be announced as soon as next week.
Icap currently dwarfs Tullett Prebon by size - it has a market value of £2.9 billion compared to £765 million. But the Standard understands Icap's much larger electronic broking business will remain separate. This leaves Icap's more traditional broking business to be merged with Tullett, with Icap taking the majority stake.
The latest tie-up would be the second major deal in the sector this year after BGC took over GFI in April for $788 million (£519 million). Tullett - also in takeover talks in 2010 - has more recently struck smaller deals such as last year's $112 million swoop for oil trader PVM.
The Standard has more here on the ever diminishing number of operators and sadly the advance of electronic broking at the expense of physical labour
Sad times IMHO
