This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Penson Worldwide, Inc. Engages Financial Technology Partners As Exclusive Advisors On Potential Sale Of Canadian Subsidiary

Stocks in this article: PNSN

Penson Worldwide, Inc. (NASDAQ:PNSN) announced that, due to the significant interest shown in Penson’s Canadian business, its Board of Directors has recently engaged Financial Technology Partners LP and FTP Securities LLC (together, “FT Partners”) as exclusive financial and strategic advisors for the potential sale of its Canadian subsidiary, Penson Financial Services Canada Inc. (PFSC).

PFSC, the largest independent clearing firm in Canada, is also Penson’s largest international subsidiary. As of September 30, 2011, PFSC had more than 100 client firms, including 28 correspondent broker dealers; book value of $54 million (CA$56 million), 12-month trailing net revenues of $46 million (CA$46 million), and 179 employees.

The Board has acted in response to recent serious interest in PFSC from several financial institutions as well as a result of the recent successful sale of Penson’s Australian subsidiary. Any sale of PFSC, which cannot be assured until an agreement is reached, would be subject to regulatory and other customary approvals. The sale of PFSC now becomes part of the Company’s overall strategic initiatives involving the sale of non-core assets, reducing debt and costs, and improving profitability.

“As a consequence of the Board’s decision, Penson has decided to focus the Company on its core US securities and futures businesses,” said Philip A. Pendergraft, Chief Executive Officer of parent Penson Worldwide. “These businesses have significant excess regulatory capital, with virtually all customer segregated funds held in U.S. bank accounts with FDIC insurance coverage. We believe significant opportunities exist in the U.S. for a clearing and execution firm like Penson, where our agency business model allows us to have our core focus on our correspondent clients.”

About Penson Financial Services Canada:

As Canada's leading independent carrying broker, Penson offers custom, service-focused solutions that are both innovative and economically attractive. Such an adaptable product offering makes Penson a clear choice for a wide variety of financial institutions in the Canadian marketplace. With offices in Montreal, Toronto, Vancouver and Calgary, PFSC is a participating organization with the Toronto Stock Exchange, the Montreal Exchange, the CNSX Exchange and the TSX Venture Exchange, is regulated by the Investment Industry Regulatory Organization of Canada, is a member of the CIPF, CDCC and CDS and subscribes to various Canadian Alternative Trading Systems.

1 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,085.06 +54.85 0.30%
S&P 500 2,091.59 +9.71 0.47%
NASDAQ 4,797.4740 +24.0020 0.50%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs