ICAP has stated it would no longer retain a 19.9% interest in the combined group of its voice-brokering business and Tullett Prebon in order to address competition rules.
Its initial stake would instead be issued directly to ICAP’s shareholders, which will now hold around 56% of the combined group‘s share capital after completion of the deal.
The move signifies the separation of Icap from its traditional voice brokering business, as it is set to rebrand as NEX Group following completion of the transaction, focusing on electronic trading and post-trade technology.
The announcement comes weeks after the UK’s Competition and Markets Authority (CMA) stepped up its investigation into the ICAP-Tullett deal.
ICAP said the escalated investigation into the deal was purely the result of concerns surrounding the broking of oil products that will need to be remedied. ICAP has now stated it will consider the sale of its voice/hybrid EMEA oil brokering business to address concerns raised by the CMA.