TP ICAP in talks to buy U.S. broker Axiom Commodity Group- source
Oct (Shenzhen: 000069.SZ - news) 31 (Reuters) - TP ICAP, the world's largest interdealer broker, is in advanced talks to buy U.S.-based Axiom Commodity Group, a source familiar with the matter told Reuters on Wednesday
The source said a deal could be announced as soon as this week, with TP ICAP slated to report third-quarter results on Friday.
The source did not want to be identified because the talks were still ongoing.
A deal to buy brokerage services provider Axiom (Other OTC: AXMM - news) , which was founded in 2006 and has a major presence in the natural gas, petroleum, power, biofuels, and grains markets, would help TP ICAP (Frankfurt: A0BKYB - news) expand its footprint as an energy broker.
TP ICAP declined to comment, while Axiom could not be reached outside regular business hours.
In January, TP ICAP, which brings together buyers and sellers in financial, energy and commodities markets, bought SCS (Shanghai: 601555.SS - news) Commodities Corp, a U.S. energy and commodities broker for an undisclosed sum.
TP ICAP was formed after Tullett Prebon (Frankfurt: N5C.F - news) 's buyout of its main rival ICAP's voice-broking business in 2015, and the deal reflected the growing strains on one of London's trademark industries - the phone-toting brokers who acted as go-betweens for major banks and financial firms in currency, energy and interest rate markets.
The proposed deal was first reported https://www.ft.com/content/33e6823e-dcf4-11e8-9f04-38d397e6661c by the Financial Times. (Reporting by Noor Zainab Hussain in Bengaluru; Editing by Bernard Orr)