Bloomberg News

Israel’s Financial Algorithms Gets $4B Buy Bid, Calcalist Says

June 26, 2014

An unidentified foreign company has offered $4 billion for Financial Algorithms, a programming service-provider for hedge funds and traders, Calcalist reported today without saying where it got the information.

Financial Algorithms, founded in 2001 with offices in Herzliya, Israel, is considering the offer, Calcalist said on its website, naming possible buyers as Chicago-based Citadel LLC or New York-based Renaissance Technologies LLC.

Financial Algorithms employees said no one was available to comment when contacted by phone today and there was no immediate reply to an e-mails sent to the company. Citadel and Renaissance didn’t immediately respond to e-mails seeking comment. No one answered calls made to Renaissance offices in London.

An acquisition of Financial Algorithms for $4 billion would be one of the largest of an Israeli company on record. Lucent Technologies Inc. acquired Chromatis Networks Inc. in 2000 for more than $4 billion, Cisco bought NDS Group Ltd. in 2012 for $5 billion, and Berkshire Hathaway Inc. (B:US) paid $4 billion in 2006 for an 80 percent stake in Iscar Metalworking Cos.

Financial Algorithms employs about 100 workers in Herzliya and posted a profit of $330 million in 2013, Calcalist said.

To contact the reporter on this story: Shoshanna Solomon in Tel Aviv at ssolomon22@bloomberg.net

To contact the editors responsible for this story: Samuel Potter at spotter33@bloomberg.net James Doran, Gwen Ackerman


Tim Cook's Reboot
LIMITED-TIME OFFER SUBSCRIBE NOW

Companies Mentioned

  • B
    (Barnes Group Inc)
    • $33.15 USD
    • -0.25
    • -0.75%
Market data is delayed at least 15 minutes.
 
blog comments powered by Disqus