GFI Group Inc. (NYSE:GFIG) Soars 40% to 52-Week High on CME Acquisitions

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GFI Group Inc. (NYSE:GFIG) shares were up about 40%, marking a new 52-week high at $4.42, in the first hour of trade Wednesday on CME Group’s plans to acquire several businesses. GFI conducts wholesale brokerage among other financial services.

CME plans to acquire Trayport and FENICS from GFI Group, with GFI Group stockholders receiving $4.55 per GFI Group share in CME Group stock.

Following the acquisition of GFI Group, a private consortium of GFI Group management, led by current Executive Chairman Michael Gooch, CEO Colin Heffron and Managing Director Nick Brown, will acquire GFI Group’s wholesale brokerage and clearing businesses for $165 million in cash and the assumption, at closing, of approximately $63 million of unvested deferred compensation and other liabilities.

After completion of the transaction, the wholesale brokerage business, including the Kyte Group, will continue as a private company with its management and operations largely unchanged. The continuing GFI Group brokerage business will maintain its commitment to both Trayport and FENICS by entering into long-term commercial agreements. CME was up slightly at $75.71, trading in a 52-week range of $66.44 to $84.71.

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