30th Aug 2005 15:15
ICAP PLC30 August 2005 Press Release ICAP to acquire United Fuels International, Inc, a leading US energy broker London, August 30, 2005 - ICAP plc (IAP.L), the world's largest interdealerbroker, has agreed to acquire through its Group companies the majority of theassets of United Fuels International, Inc. and its Affiliates (United), aleading US based energy broking business with turnover of $24 million in 2004. Headquartered in Burlington, MA with 5 US offices, United's 60 staff, including41 brokers, serve over 500 industry clients across the three major energy marketsegments: physical energy - crude oils, gasoline, distillates, jet fuel, coaland emissions; energy derivatives - crude, fuel oil, natural gas NYMEX swaps,emissions derivatives and coal swaps; and energy futures- NYMEX floor brokerage,Introducing Broker services, and technical advisory services. Dennis Crum, CEO of ICAP Energy LLC, commented, "United has a strong presence inthe US oil, oil related markets, emissions and coal is a great addition to ourcore strength in US power and gas. It is also an excellent fit with ICAP'sleading position in the energy markets in Europe and Asia particularly theLondon and Singapore based businesses in oil and refined products." Michael Spencer, ICAP's Group Chief Executive said, "The energy markets arehighly fragmented but developing rapidly and represent a real growthopportunity. These markets attract a very diverse range of customers and Unitedhad established a broad coverage with high quality staff to service them. Thisacquisition further extends ICAP's position as the world's largest and mostdiversified energy broker in the OTC markets." The acquisition of United is expected to be completed in early October 2005,when a further announcement will be made, and is expected to be immediatelyaccretive to ICAP's earnings per share. The consideration is expected to besatisfied by a cash payment on completion. Contacts: Dennis Crum ICAP Energy - US (1) 502 212 4903Paul Newman ICAP Energy - UK (44) 20 7000 5244Ivette Collazo ICAP N.A.- Media Relations (1) 212 815 6886Mike Sheard Director of Corporate Affairs (44) 20 7050 7103 About ICAP: ICAP is the world's largest interdealer broker and following the acquisition ofthe BrokerTec fixed income securities businesses is the world's leadingelectronic broker of fixed income securities with a daily average transactionvolume in excess of $1 trillion, 50% of which is electronic. The Group isactive in the wholesale market for OTC derivatives, fixed income securities,money market products, foreign exchange, energy, credit and equity derivatives. ICAP Energy was named Broker of the Year by Energy RISK magazine in a poll ofmarket participants. About United: Founded in late 1980, United Fuels International, Inc. and its affiliatedcompanies comprise one of the leading integrated energy brokerage firms in theUnited States. In the over-the-counter ("OTC') market, United acts as a brokerof spot and long term transactions between commercial industry participants. Inthe futures market, the Company provides floor brokerage execution on the NewYork Mercantile Exchange. ('NYMEX"), as well as full service introducingbrokerage, technical advisory and newsletter services for energy futures andoptions to industry clients. United's customer base includes major oilcompanies, independent refiners, domestic and international investment banks,domestic and international trading firms, petroleum marketers, airlinecompanies, electric utility companies, industrial manufacturers, petrochemicalcompanies, and managed futures funds. The acquisition includes United Fuels International, Inc., United Crude Oil,Inc., United Domestic Crude Oil, Inc., United Power, Inc., and United Energy,Inc. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
IAP.L