Penson wins approval of bid procedures for $10.5 million asset sale

By Caroline Salls

Pittsburgh, March 8 - Penson Worldwide, Inc. received court approval of the bid procedures for the proposed $10.5 million sale of substantially all of the assets related to the direct access trading technology and online brokerage solutions of Penson and Nexa Technologies, Inc., according to a Thursday filing with the U.S. Bankruptcy Court for the District of Delaware.

Federation des Caisses Desjardins du Quebec is the stalking horse bidder. If the stalking horse bid is not ultimately the high bidder for the assets, Penson will pay it a $187,500 break-up fee.

Competing bids are due by 4 p.m. ET on March 20.

Minimum initial overbids must be for at least $10.5 million or the amount of the proposed purchase price if the stalking horse bidder is replaced as part of an agreement with Nexa services provider TD Waterhouse, plus the amount of the break-up fee and a $250,000 initial overbid amount.

Bids at auction must be made in minimum increments of $100,000.

The auction will be held on March 22, and the sale hearing is scheduled for March 26.

Dallas-based Penson Worldwide provides securities execution, clearing, custody, settlement and technology infrastructure products and services to financial services firms. The company filed for bankruptcy on Jan. 10 under Chapter 11 case number 13-10061.

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