Here's a good short, right out the gate (those customers of Cyber who clear through Penson, know what a POS we're dealing with here<ggg>):
biz.yahoo.com
"Friday September 15, 2:59 pm Eastern Time
Securities clearing firm Penson files $150 mln IPO
WASHINGTON, Sept 15 (Reuters) - Penson Worldwide Inc., which provides securities clearing and margin lending services to the direct access and online brokerage industry, filed on Friday to raise $150 million in an initial public offering.
The Dallas-based firm plans to use the net proceeds for working capital, repayment of existing debt and general corporate purposes, it said in a filing with the Securities and Exchange Commission.
The number of common shares and their price range will be determined later.
Penson has applied for a Nasdaq listing under the symbol ``PNSN'' (Nasdaq:PNSN - news), and will have the offering jointly managed by Chase H&Q and Robertson Stephens, with assistance from U.S. Bancorp Piper Jaffray.
Penson's securities clearing services include trade execution, customer account maintenance and customised data processing systems.
Penson said its customers outsource these functions in order to avoid the capital required by the SEC and other regulators to support the activities as well as to reduce the need for margin lending, clearing technology and support personnel.
A.B. Watley, All-Tech Investment Group and Blackwood Trading are among the firms that use Penson's services.
The company plans to end its market making operations before the IPO becomes effective, saying the volatility in the earnings of the market making business ``would be detrimental to the performance of our stock in the public trading market.''"
Morgan |
