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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