forexmagnates.com/...e-charles-schwab-emerges-possible-suitor/
FXCM Share Buyout on the Table? Charles Schwab Emerges as Possible Suitor
Posted on January 23, 2015 by Forex Magnates in Brokers,Retail Forex
Charles Schwab Corp has emerged as a darkhorse candidate to buyout shares of FXCM (NYSE:FXCM), following the recent Leucadia lifeline last week, with a premium of $5.25 per share being seen as a plausible figure.
Charles Schwab Corp has emerged as a darkhorse candidate to buyout shares of FXCM (NYSE:FXCM), following the recent Leucadia lifeline last week, with a premium of $5.25 per share being seen as a plausible figure, according to a Benzinga report.
Earlier today, it was revealed that FXCM drew an investigation from Kirby McInerney LLP, exploring claims against the firm’s Board of Directors. This occurred on the heels of last week’s CFTC investigation, as well as two US law firms publicly stating that they are investigating FXCM for possible violations of the Securities Exchange Act 1934 10(b) and 20(a).
According to Jeff Wilkins, Managing Director of ThinkLiquidity, in a recent statement to Benzinga on the possible deal, “Last week, the stock was trading around $17, and the only thing different is the cash situation and possible reputational damage, if Charles Schwab is a suitor, it brings immediate credibility to the table.”
At the time of writing, FXCM’s share price was hovering at $2.41 per share (-22.26%) during US trading. A possible buyout by either Charles Schwab or any unnamed entity certainly has the potential to throw the price into an even greater state of volatility, following the recent suspension of trading and consequent -88% loss in share price earlier this week.