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Refco Buys Jenrette’s DLJ Futures Group

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Associated Press

Refco Inc. has purchased the businesses of Donaldson, Lufkin & Jenrette’s DLJ Futures Group, the companies reported Monday.

The purchase price was not disclosed, although the joint announcement said the sale was “at a price in excess of DLJ’s book value.”

Under the agreement, Refco immediately assumes responsibility for the professional staff and all of the institutional, individual and correspondent customer relationships of DLJ Futures Group worldwide, the announcement said. Excluded from the deal were ACLI Metals (London) Ltd. and Wardley-ACLI Commodities Ltd.

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The sale “reflects the ongoing implementation of DLJ’s overall strategy to concentrate on investment banking, financial services and capital markets activities,” DLS spokesman Jay C. Huffard said. Huffard said DLJ was “pleased to be able to sell its Futures Group to a company highly successful in and fully committed to the futures business.”

Tone N. Grant, president of Chicago-based Refco, said that, with the purchase, the privately held Refco will have assets exceeding $1 billion and more than $100 million of equity capital, excluding assets of its affiliated primary dealer in U.S. government securities and its cattle feeding and agricultural interests.

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