– Knight 2.0: Jefferies Rescues FXCM With $300 Million Bailout, CNBC Reports (ZeroHedge, Jan 16, 2015):
In an apparent replay for 2012’s Knight Trading algo-implosion $400 million cash-infusion bailout, Jefferies (owned by NY-based I-bank Leucadia) is riding its white horse to the rescue of FXCM and its $200-million-plus client losses:
- *LUK IN $300M DEAL TO LET FXCM CONTINUE NORMAL OPS: CNBC
- *LEUCADIA GIVE FXCM $300M IN FINANCING CNBC
Leucadia will get $250m in senior notes as part of the deal, CNBC says. So – in summary – a central bank blew up an FX broker and a mid-market junk-bond underwriter bailed them out… must be good for a green close for the week in stocks!
No statement from either side yet.
Leucadia deal to invest $300m in $FXCM is done. Deal includes $250 million sr secured notes with 10% coupon.Will allow firm to stay in biz.
— DAVID FABER (@davidfaber) January 16, 2015
* * *
So FXCM can back to more of the same?
Just got this advert on Facebook. Already well aware of this company, thanks pic.twitter.com/dEhi5XKuCq
— Peter Spence (@Pete_Spence) January 16, 2015