(Reuters) -Charles Schwab is expected to announce an acquisition deal for private share marketplace Forge Global in an offer valued at as much as $600 million, the Financial Times reported on Wednesday, according to two people familiar with the terms. Schwab is expected to pay $45 per share for Forge Global, the report added, which […]
Business
Charles Schwab close to $600 million deal to buy Forge Global, FT reports
Audio By Carbonatix
(Reuters) -Charles Schwab is expected to announce an acquisition deal for private share marketplace Forge Global in an offer valued at as much as $600 million, the Financial Times reported on Wednesday, according to two people familiar with the terms.
Schwab is expected to pay $45 per share for Forge Global, the report added, which would represent a 75% premium to Forge’s closing price as of Wednesday. Shares of Forge Global were trading at $38 in after-hours trading.
The deal could be announced as soon as this week, however, there is no assurance on it going through, the report added.
Charles Schwab declined a comment, while Forge Global did not immediately respond to a Reuters request for comment.
Major financial institutions are ramping up efforts to tap into private markets, building infrastructure to connect clients with pre-IPO companies, facilitate share liquidity and meet growing investor demand for early exposure to high-growth startups.
(Reporting by Pritam Biswas in Bengaluru; Editing by Alan Barona)