PLUS Markets sells stock exchange to ICAP

Troubled exchange operator PLUS markets announced this afternoon that it has offloaded its flagship market to interdealer broker ICAP – just days after the board said the group will be wound up.

The deal, valued at just £1, will see ICAP take over PLUS Stock Exchange Ltd on a cash-free, debt-free basis.

“PLUS-SX remains a loss making business. The disposal will, therefore, help both the Group preserve remaining shareholder value and protect the reputation and continuity of the RIE for its existing listed and quoted companies,” PLUS said in a statement.

PLUS said move will allow firms to maintain their listing on the index: “ICAP is well positioned to leverage PLUS’ exchange status to offer new products and solutions for its customers including, in time, listed derivatives. Moreover, ICAP has separately confirmed today that it is committed to continue supporting and expanding the PLUS equities listings
venue which provides growth capital for smaller companies.”

PLUS has struggled since it was formed in 2005 and unaudited management accounts for the period to 30 June 2011 show losses of over £1m attributable to PLUS-SX, with a further £5.7m losses for year ended 31 December 2010