Rumours are sweeping the market that Natixis is fielding offers
for the metals part of its business, which were sparked by its
announcement on Wednesday May 9 that it planned to wind down
its commodities brokerage.
The French bank said earlier this week it had failed to find a buyer and was
therefore forced to close the business
, which includes a
London Metal Exchange ring-dealership.
Sources familiar with the situation suggested it almost
clinched a sale in the first week of May.
While private negotiations failed to find a buyer before the
wind-up was announced, "there were still several people who
didn't know it was for sale, and those that did know it was for
sale maybe didn't realise how little time they had", another
Natixis's metals business, while capital intensive, was trading
profitably, another source said.
"It was simply that the bank itself, with all the euro
financing problems that it has, chose not to deploy capital in
this one relatively narrow area," he said.
Natixis will continue to provide commodities trade finance and
over-the-counter commodities sales and trading services after
the brokerage unit is liquidated, Hotline understands.
Natixis declined to comment.