Icap clinches EBS deal; FXall agrees stake sale - The Business

Interdealer broker Icap has clinched a deal to acquire bank-owned currency trading platform EBS, according to media reports citing people close to the talks.

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Icap clinches EBS deal; FXall agrees stake sale - The Business

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Icap has seen off fierce competition from US stock market Nasdaq and rival broker-dealer Collins Stewart to claim the prize scalp of EBS, according to weekend reports in The Business newspaper.

Icap is believed to be paying between $750m and $800m to the 13-member bank consortium which owns EBS. The deal cements Icap's strong position in electronic broking, following on from the 2003 purchase of fixed income platform BrokerTec.

EBS has more than 2000 traders executing an average of $125bn in spot foreign exchange transactions daily, as well as 700,000 ounces of gold and 7m ounces of silver.

The Business is also reporting a putative stake sale by bank-owned currency portal FXall. The report says FXall's backers have agreed to sell a 20% stake to private equity firm Technology Cross Ventures (TCV).

The deal values the platform at $300m, a significantly higher multiple to profits than previous deals. TCV is understood to have beaten off rival General Atlantic, which last year bought a 25% stake in forex specialist firm SaxoBank for $126.5m.

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