BGC Partners, Inc. (NASDAQ: BGCP) ("BGC Partners," "the Company," or "BGC"), a leading global brokerage company primarily servicing the financial and real estate markets, today responded to the odd announcement by GFI Group Inc. (NYSE: GFIG) ("GFI Group" or "GFI") that it "will explore strategic alternatives."
Howard Lutnick, Chairman and Chief Executive Officer of BGC, said: "BGC's $6.10 per share all-cash tender offer is both the highest price offered for GFI and the only proposal that remains actionable by GFI's shareholders. GFI and its management team have been exploring 'strategic' alternatives for their company for a year and a half, and decided based on this exploration that the now defunct $4.55 per share was the price that GFI shareholders should have accepted. The statements by GFI's management team in their July, 30 2014 press say it all: '...Optimizing GFI's value for stockholders has been a goal of management since becoming a public company in 2005 and this [$4.55 per share] transaction represents a singular and unique opportunity to return value [to GFI shareholders.]'
"GFI shareholders must decide for themselves whether or not they should listen to GFI's conflicted management team and board, or if they should tender their shares to us for $6.10 per share in cash tomorrow. Tendering shares to us is the only prudent action left, and the only way for GFI shareholders to get the certain value they deserve now. Waiting on management to come up with 'alternatives' that may never materialize is a fool's errand which must end here and now.
"It is time for GFI's board to stop hiding behind management's illusory claims, which may mislead investors about our offer in order to protect GFI management's conflicted and insider position. The GFI Special Committee, which excludes the executive members of the board, has already found BGC's offer to be a compelling option for shareholders, and so the board must act in the interest of all GFI shareholders by accepting BGC's offer."
Mr. Lutnick concluded: "We are prepared to act quickly to complete our all-cash offer of $6.10 per share which delivers significant value to shareholders and provides certainty and speed to closing. We have financing in place and have already received the requisite regulatory approvals necessary to close. We urge GFI shareholders to tender their shares by tomorrow's deadline in order to realize the value to which they are entitled."
As previously announced, BGC's tender offer is scheduled to expire at 5:00 PM ET on February 3, 2015, unless extended.
Stockholders with questions about how to tender their shares may call Innisfree M&A Incorporated, BGC's Information Agent, toll-free at (888) 750-5884.
BGC's financial advisor and dealer manager for the tender offer is Cantor Fitzgerald & Co. and its legal advisor is Wachtell, Lipton, Rosen & Katz.