Add to balance / Manage account | User: | Log out |
Prospect News home > News index > List of issuers Review > Headlines for 2015 > News item |
Morning Commentary: FXCM jumps on positive earnings; Herbalife gains on word of Ackman probe
By Rebecca Melvin
New York, March 13 – FXCM Inc.’s convertibles jumped in early trade Friday after the beleaguered New York-based foreign exchange services company reported better-than-expected fourth-quarter results and said it has repaid $12 million of the $300 million rescue package from Leucadia National Corp.
FXCM’s 2.5% convertibles due 2018 were quoted at 74.5 bid, 75.5 offered early Friday, which is up from 71 bid, 72 offered, where they went out on Thursday, traders said.
FXCM shares were up 50 cents, or 23%, to $2.65 in the early going.
FXCM was bailed out by Leucadia in January when FXCM was swamped by client losses related to the Swiss National Bank’s action to remove its cap on the value of the Swiss franc.
Elsewhere, Herbalife Ltd.’s convertibles moved up strongly along with a pop in the underlying shares of the Cayman Islands-based nutrition company in response to reports about a probe by Federal prosecutors and the Federal Bureau of Investigation into potential manipulation of Herbalife stock.
The investigators have questioned people hired by William Ackman of Pershing Square Capital Management LP. Ackman has bet against Herbalife, calling the company a pyramid scheme.
Herbalife’s 2% convertibles due 2019 traded up nearly 3 points to 79.3, according to Trace data.
Herbalife shares were up $4.33, or 13%, to $37.60.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.