High Court appointed Richard Heis, Samantha Bewick and Mark Firmin of KPMG LLP as joint special administrators of Alpari (UK) Ltd.
They are having a number of enquiries from interested parties in relation with companies business. As they say after few days they may confirm the final deal is done with which broker.
Yes, you're absolutely correct
I doubt if any other broker would want to take over the Alpari UK brand considering how tainted it now is and synonymous with risk failure. Its more likely the main asset, the client list, will be sold. This size client list, 100,000? (Alpari globally has about 440,000 clients) will attract every SB/CFD firms interest and each account could reasonably be valued at £100 in these circumstances. That would make them worth probably somewhere around £10m and attractive enough for someone to take a punt. Bear in mind it costs over £600 to acquire each FX client so the buyer (could be me??? ) will only need 17,000 clients to move to get the correct CPA and a ROI of 4:1, which is a do-able deal.
The administrators are sending all accepted interested parties details of Alpari's business today and will hope for a quick sale.
I think data protection makes the sale of client data a non starter - This is the same administrator that handled worldspreads and the client list was written off at zero value - not a lawyer myself but I guess it will depend on the T's and C's at account opening stage.
IronFx is to make a bid. Apparently.
Let's hope they can sort out client's funds asap if it's successful.
IronFX will have some competition.
KPMG estimate that a cash injecton of circa £25m is required to replenish regulatory capital with an adequate buffer.
116,000 clients, 27,000 active, 12,000 in January. £25m seems a bit toppish. 27,000 active accounts should be worth £67m if they can migrate them ALL over. £25m for 27,000 clients is a CPA of £925 and that's higher than industry standard, and £67m revenue for £25m cost is not a good enough ROI normally.
I said on another post they're probably worth £10m to someone, and there are a lot of firms that have £10m to take the punt. IronFX will be in a queue of firms putting in a very very cheeky bid.
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