REPORT: The saviour Of Knight Capital Could Be Virtu Financial

Knight Capital

Photo: AP Images

The Wall Street Journal’s Jenny Strasburg and Anupreeta Das report that Knight Capital is currently in deal talks with Virtu Financial LLC about a potential merger or capital infusion. Virtu, which is run by former chairman of the NYMEX Vincent Viola, is also an electronic trading firm and market maker.  It is also backed by private equity firm Silver Lake, the report said. 

The Wall Street Journal reports that Knight is in discussion with other potential partners, too.  

Shortly after the opening bell yesterday there were some wild swings in about 150 different NYSE-listed stocks caused by a trading glitch at Knight Capital’s market-making desk.    

Knight released a statement today that the company faces a $440 million pre-tax loss following the glitch.

Shares of Knight have continued to get walloped.  They were last down more than 56% at about $3.02 per share. 

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at