Abraham, Fruchter & Twersky, LLP Announces Investigation of Securities Fraud Claims Relating to the Tender Offer for GFI Group Inc. Common Stock

NEW YORK--()--Abraham, Fruchter & Twersky, LLP is investigating potential claims relating to the announced tender offer (the “Tender Offer”) by BGC Partners, Inc. (“BGC”) for all the outstanding shares of common stock of GFI Group Inc. (“GFI” or the “Company”) (NYSE:GFIG) for possible violations of the federal securities laws.

“[t]his all-cash offer will provide the GFI shareholders with immediate, certain and compelling value, without material contingencies.”

On September 9, 2014, BGC issued a press release announcing that it intended to pursue a Tender Offer to acquire all of GFI’s stock for $5.25 per share in cash in order to enable BGC to acquire a majority of GFI stock on a fully diluted basis. BGC specifically stated that the Tender Offer would not be subject to any financing contingency and that “[t]his all-cash offer will provide the GFI shareholders with immediate, certain and compelling value, without material contingencies.” (Emphasis added). That same day, in reaction to BGC’s announcement, GFI stock closed at $5.69 per share, an increase of 13% over the September 8th closing price of $5.03 per share.

On October 22, 2014, BGC commenced the Tender Offer. However, contrary to its previous statement that the Tender Offer would not be subject to any material contingencies, the Tender Offer was, in fact, conditioned upon BGC being able to appoint two-thirds of GFI’s directors immediately following consummation of the Tender Offer. The Tender Offer is also conditioned on certain other material contingencies, which would permit BGC to withdraw, that were not previously disclosed by BGC. According to published reports, BGC’s actions were intended to manipulate events relating to the acquisition of GFI rather than allow for the Tender Offer to be successful.

If you purchased GFI common stock between September 9, 2014 and October 21, 2014 and would like to discuss this investigation, or if you have any questions concerning your rights as a potential class member or lead plaintiff, you may contact: Jeffrey S. Abraham or Philip T. Taylor of Abraham, Fruchter & Twersky, LLP toll free at (800) 440-8986, or via e-mail at info@aftlaw.com or ptaylor@aftlaw.com.

Abraham, Fruchter & Twersky, LLP has extensive experience in shareholder and securities class action cases, and the firm has been ranked among the leading class action law firms in terms of recoveries achieved by a survey of class action law firms conducted by Institutional Shareholder Services.

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Contacts

Abraham, Fruchter & Twersky, LLP
Jeffrey S. Abraham, (800) 440-8986
or
Philip T. Taylor, (800) 440-8986

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