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FBN’s Charlie Gasparino breaks down how ICE’s takeover of the NYSE happened.
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Action but at the moment let's get back to the huge story the Charlie Gasparino broke on business network's -- everybody.
Did yeah.
Did -- secure -- ahead of the New York Stock Exchange figure out he needed to find another buyer for the NIC.
I guess about the same moment last year after the -- to ports deal fell through absolutely I mean literally what I'm hearing from people in his inner circle.
Is this after that deal fell through fell through because European regulators said.
It violates antitrust -- -- I don't understand how -- that's what they said.
So they -- nixed the deal Duncan Niederauer went back to the drawing board literally -- second and try to find out of merger partner now here's the agency thing.
Why did -- pick ice well because it had in the end.
Figured this would be the best deal and he was willing to give up the CEO role ballots adjusting because an analyst Richard -- comes in the middle this great -- Sandler O'Neill.
Rich was still talking to -- if the -- which of course look rich was doing his job.
Talked to Jeff Specter of ice so would you be willing to good to talk with -- -- you do deal for the New York Stock Exchange.
Stretches it yes but -- you won't give up the CEO job.
Which went back to Duncan Duncan said of course it would just -- well for the right deal.
And -- you know talks did occur yet I mean they were there working on other issues that we just getting out of that old merger.
-- what I understand there was some communications there and then there was a phone call about eight weeks go from stretcher to Dunkin'.
And then it was full on very -- -- interest they kept a pretty silent for eight weeks old that oppressive there.
Now here's a thing the reason why we kind of had a -- on this thing.
Is because I was tracking down trying to -- -- there was talk that he's doing that Duncan was gonna do something transformational.
And it is looking to do something else you know those things -- -- out there.
And for some reason -- so a lot of my sources were out of pocket.
As it turned out -- sources were working on the deal the could talk to me.
We were able to get -- -- at that list at that night.
Just because you know sometimes reporting is lucky.
You know someone picks up the phone and you're able to get to category called like called and I called a -- every that was the whole thing -- -- make a lot of calls and -- -- here late you know get to 7 o'clock.
And you know in business news journalism.
7 o'clock -- early.
I mean stuff goes down after the -- significantly.
And we were able to get the real story remembered the way this thing first developed the first headlines out of the Wall Street Journal was that there was a merger.
What we removed due to foxman is -- confirm that there was a deal but even more than that.
That this was a transformational deal in finance the ice a twelve year old institution.
You know computer network it matches buys and sells stock twelve years old.
Buying.
The New York Stock Exchange for about thirty dollars a share.
Buying the 200 year old icon of of America on the floor what are the traders the floor traders sort of under their breath say that they like -- that they feel better about it because he was very clear with you just record saying that the floor traders would -- I think the floor traders are so you know they've been through so much change particularly over the last five years that.
You know they don't this is not cesium and I think they know what which -- knows what would dump your -- is that there is a place for -- in their business model.
And the police from floor is essentially where it is now so that I don't think you're gonna see.
More attrition from the floor -- there is a certain amount of business going to be down on the floor.
Neither structure or Duncan Niederauer -- Market -- they're both electronic guys Duncan's experience at Goldman -- you know an entrepreneur or created this it was a utility executive.
Who created this pretty amazing story.
And twelve years created a company worth ten billion dollars it's pretty it's pretty amazing.
You you ought to press they're Smart they know that there's a business model of the of this new entity a business model does -- humans that spike.
Very I don't well I mean look at the -- stock now why was the stock going down turn at times like Duncan had to sell people forget because they needed to do the equity the equity abolish answers remember they matched they match buyers and -- -- stocks.
That equity business has been falling off volumes have been going down significantly since 2008.
You know we just showed 2012 wrap up -- new featured prominently in that your hair never change but why did that -- -- -- like.
Short -- -- there it's there it's just -- as kind of sprayed on.
You know.
Out of the bad debt that is one of what of our early -- conference -- really good now we'll take what it for anybody Iraqi.
-- -- Charlie thank you very much.
