FX round-up: EBS up for sale… apparently
A recent report by BreakingViews has revived the familiar story that EBS is up for sale, claiming that the company was hawking itself around via its adviser, Citigroup. The £1 billion ($1.8 billion) valuation that BreakingViews has put on EBS looks a little toppy and might well scare potential suitors away. Back-of-the-fag-packet calculations suggest that EBS captures about 20% of the total spot market. As FX volumes are still expected to grow, and EBS could quite conceivably increase its market share, someone with deep pockets might well decide it is worth a punt, even at £1 billion. However, whether its multiple owners will ever agree on the attractions of a suitor remains to be seen.