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Reuters Restructures Telerate Deal

The Department of Justice (DoJ) announced Tuesday that Reuters will restructure its deal to acquire Moneyline Telerate to satisfy the DoJ's and the European Commission's (EC) antitrust concerns over the deal.

In December, London-based Reuters, the world's largest publicly traded provider of financial information, agreed to buy Telerate, which provides financial information to capital markets, for $100 million in cash and Reuters' 14 percent stake in Savvis Corp. .

Both the DoJ and the EC expressed concern that Reuters' proposed control of two market data distribution platforms owned by Telerate would have reduced competition for those services.

Under the new terms accepted Tuesday, Telerate will license to HyperFeed Technologies its TRS software platform, which is used to distribute and analyze a broad range of financial information.

In addition, Telerate will license its Active8 software, which users need to interact with the TRS platform.

"The licensing agreement will enable HyperFeed to compete for Telerate's existing market data distribution platform customers and will preserve an alternative distribution platform for all customers," R. Hewitt Pate, assistant attorney general in charge of the DoJ's Antitrust Division, said in a statement.

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