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BGC Completes Newmark Share Distribution to Stockholders

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BGC Partners announced that it has completed the distribution of all of the shares of Newmark Group (NMRK - Free Report) . On Nov 13, 2018, BGC’s board of directors approved the distribution of all Newmark’s shares held by the company to its stockholders.

BGC distributed these shares through a special pro rata stock dividend. The spin-off became effective Nov 30 to BGC stockholders on record as of the close of business on Nov 23.

Based on the common stock outstanding as of the record date, stockholders of BGC Class A common stock received 0.463895 of a share of Newmark Class A common stock for every one share of BGC Partners Class A common stock held as of the record date. Following the spin-off, BGC no longer held any shares of Newmark.

Acquisition Spree

Notably, BGC remains active in undertaking inorganic growth activities. In November 2018, the company announced that it has completed the acquisition of Poten & Partners Group. Poten is a ship brokerage, consulting and business intelligence firm specializing in LNG, tanker and LPG markets.

Shaun D. Lynn, president of BGC said, "We are excited about this strategic acquisition, which is very complementary to our current commodities offering.” He further added, “The addition of physical LNG, LPG and tanker brokerage, and energy consulting capabilities will allow BGC to expand its operations in the oil, gas and shipping sectors.”

Further, in October 2018, BGC entered into an agreement to acquire Ed Broking Group Limited, an independent Lloyd's of London insurance broker with a strong reputation across Accident and Health, Aerospace, Cargo, Energy, Financial and Political Risks, Marine, Professional and Executive Risk, Property and Casualty, Specialty and Reinsurance. Under the terms of the agreement, BGC will acquire 100% of Ed.

The deals are expected to provide BGC with a diverse and growing revenue source. Further, the company’s involvement in these activities reflect a strong capital position.

In the past six months, shares of BGC have lost 6.1% compared with the industry’s decline of 17.1%.

The stock currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

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TD Ameritrade Holding Corporation (AMTD - Free Report) has been witnessing slight upward estimate revisions in the past 30 days. Also, the company’s shares have gained nearly 1%, over the past year. It carries a Zacks Rank of 2 (Buy), at present.

E*TRADE Financial Corporation has witnessed 1.3% upward estimate revisions over the past 30 days. Additionally, the company’s shares have gained nearly 5.5% year to date. It sports a Zacks Rank of 1, at present.

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