So is it, or isn’t it?
Alpari UK has issued a new statement on its website, contradicting what it had itself posted on Friday. On Friday, Alpari UK indicated that it had entered insolvency following losses suffered in the Swiss Franc mega-move Thursday.
Alpari UK’s new statement (repeated below) on its website states that Alpari UK has not yet entered a formal insolvency process, and that ‘all options’ are being considered, including a sale of the company. Alpari expects to make a further announcement shortly.
Alpari’s new statement follows:
Our take on what has happened? We believe that, similar to what FXCM did bringing in a new investor with a major capital injection, Alpari UK is also negotiating with potential investors (in cooperation with Alpari UK’s regulator, the FCA) to being fresh cash into the company before the opening of trading Monday.
If Alpari UK can find a new source of capital keeping it onside of its regulatory obligations, then it could likely survive and continue operating. Similarly, if Alpari UK can sell itself or its client base to a well-capitalized third party before Monday morning then Alpari UK’s owner (the Alpari Group) could salvage some value from the company.
Stay tuned to LeapRate as we continue to cover this story.
For comparison purposes, the original Alpari UK statement from Friday is repeated below:
We would like to remind our readers that the Alpari UK (possible) insolvency does not affect other Alpari Group companies, including flagship entity Alpari Russia.