New York-headquartered financial services provider INTL FCStone Inc (NASDAQ:INTL) today announced that it has completed its acquisition of Sterne Agee LLC from Stifel Financial Corp.
The closing occurred on July 1st, 2016, and included the correspondent securities Clearing business and independent wealth management business of Sterne Agee LLC under three broker-dealer (BD) entities, with the remaining two Registered Investment Advisors (RIA) expected to close by the end of Q3, already underway.
The deal is expected to bring in 50 clearing relationships, over 100,000 customers, and $11 billion in assets, helping INTL FCStone expand its product scope and services across nearly all asset classes and related verticals within its clearing businesses. INTL FCStone's market cap remains over $510 million, based on its prevailing stock price and outstanding shares.
RIAs to be finalized in Q3
Meanwhile, the closing of the two RIAs is expected to be completed during this quarter after a customary notice period, according to an official statement.
Finance Magnates wrote about the acquisition of Sterne Agee LLC from Stifel Financial Corp when the transaction was first announced at the beginning of last week, just days after INTL FCStone had reportedly temporarily raised certain margin requirements ahead of the Brexit vote for some of its products.
Shares of INTL traded around $26.89 around the time of publication today and are trending back towards a multi-month resistance level near $28.50, with the 52-week high just under $37.00 per share. This follows after the firm's stock price recovered from a Brexit -related global sell-off on June 24th that had brought shares of INTL to reach near $25.00, closing to its 52-week low near $24.00.
