will live another day, as a group of firms led by the Jefferies Group
has injected $400 million into the troubled market maker, Reuters reports
The Blackstone Group
, TD Ameritrade
, Stifel Nicolaus
, and Stephens Inc.
joined Jefferies in the rescue. Together they bought preferred shares amounting to nearly a 73 percent stakes in Knight. The stock was down 24 percent on the day, closing at $3.07.
And two big brokerages, Vanguard
, announced that they've resumed routing orders through Knight.
Knight CEO Tom Joyce
said it's too early to say whether the company will stick to the strategy it employed before the losses. Reuters
spoke to some analysts who said it's still likely that Knight will eventually need to be broken up.
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