13 October 2009
Tullett Prebon plc
Acquisition of Convencao
Tullett Prebon plc announces that the Company has today reached agreement to
acquire Convencao S/A Corretora de Valores e Cambio ("Convencao"), one of the
leading and most well respected interdealer brokers in Brazil. The acquisition
is conditional on approval from the Brazilian authorities, including the
Central Bank of Brazil, and is expected to complete in the second quarter of
2010.
Convencao was founded in 1973 by Eduardo da Rocha Azevedo, a past President of
the Bovespa (the Brazilian stock exchange), and also a past President and one
of the founding Members of the BM&F. The senior management of Convencao will
remain with the Company after the acquisition is completed.
For the year to December 2008 Convencao reported revenues of R$21.9 million
(£8.0 million).
The initial consideration for the acquisition is R$20.0 million (£7.3 million)
payable in cash, with deferred consideration up to a maximum of R$30.3 million
(£11.0 million) payable in cash subject to achievement of future revenue and
profit targets.
The acquisition of Convencao marks Tullett Prebon's entry to the on-shore Latin
American market. The Company intends to establish a presence in key countries
throughout the Latin American region commensurate with its position as one of
the world's leading interdealer brokers.
Convencao is being sold by Eduardo da Rocha Azevedo, Eduardo Nogueira da Rocha
Azevedo, and Marcelo Taiar Arbex.
ENDS
For further information please contact:
Investors and Analysts
Nigel Szembel, Head of Communications
Tullett Prebon
44 (0)7802 362088
[email protected]
Press
Corporate/UK
Charlotte Kirkham
M:Communications
44 (0)207 920 2331
[email protected]
USA
Bill Blase
W.T Blase & Associates
1 212 221 1079
[email protected]