Trading solutions provider NYFIX is to cut almost 40% of its workforce following its merger with NYSE Technologies, the technology business of global exchange group NYSE Euronext.
In a filing with the New York State Department of Labor, NYFIX detailed that owing to the merger, 71 of its 180 staff will be laid off in December, the same time the acquisition is set to be completed.
One of the departures will be NYFIX CEO Howard Edelstein, who has indicated he will step down once the acquisition has been finalised, three years after he took the helm in September 2006.
NYSE Euronext struck a definitive agreement to purchase NYFIX’s FIX software and connectivity network at the end of August for an all-cash deal for $1.675 per share of common stock, valuing the company at $144 million, including preferred stock consideration.
The exchange group is considering its options for NYFIX’s transactions services business, which include its Millennium and Euro Millennium dark pools.