Getco buying Knight Capital in $1.4B deal

Published on NewsOK Modified: December 19, 2012 at 4:40 pm •  Published: December 19, 2012
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Getco Holding Co. company became a major stakeholder after pitching in on a $400 million bailout of Knight this summer with a group led by financial firm Jefferies Group. Getco itself owns 57 million shares of Knight.

Under the buyout agreement, Getco will receive 233 million shares of the new holding company. Getco CEO Daniel Coleman will become CEO of the combined company. Knight Chairman and CEO Thomas Joyce will become executive chairman.

The combined company's board will have nine directors, including Coleman and Joyce. Getco will designate 4 additional board members, while Knight will name three additional directors.

Getco, based in Chicago, is owned mainly by its partners and executive team. Its only outside investor is General Atlantic, a private equity firm based in Greenwich, Conn.

The deal is expected to close in the second quarter of 2013.