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ICAP to Acquire United Fuels International, Inc, a Leading US Energy Broker

Posted on: Tuesday, 30 August 2005, 12:00 CDT

LONDON, Aug. 30 /PRNewswire/ -- ICAP plc (IAP.L), the world's largest interdealer broker, is acquiring through its Group companies the majority of the assets of United Fuels International, Inc. and its Affiliates (United), a leading US based energy broking business with turnover of $24 million in 2004.

Headquartered in Burlington, MA with 5 US offices, United's 60 staff, including 41 brokers, serve over 500 industry clients across the three major energy market segments: physical energy -- crude oils, gasoline, distillates, jet fuel, coal and emissions; energy derivatives - crude, fuel oil, natural gas NYMEX swaps, emissions derivatives and coal swaps; and energy futures- NYMEX floor brokerage, Introducing Broker services, and technical advisory services.

Dennis Crum, CEO of ICAP Energy LLC, commented, "United has a strong presence in the US oil, oil related markets, emissions and coal is a great addition to our core strength in US power and gas. It is also an excellent fit with ICAP's leading position in the energy markets in Europe and Asia particularly the London and Singapore based businesses in oil and refined products."

Michael Spencer, ICAP's Group Chief Executive said, "The energy markets are highly fragmented but developing rapidly and represent a real growth opportunity. These markets attract a very diverse range of customers and United had established a broad coverage with high quality staff to service them. This acquisition further extends ICAP's position as the world's largest and most diversified energy broker in the OTC markets."

The acquisition of United is expected to be completed in early October 2005, when a further announcement will be made, and is expected to be immediately accretive to ICAP's earnings per share. The consideration will be satisfied by a cash payment on completion.

About ICAP:

ICAP is the world's largest interdealer broker and following the acquisition of the BrokerTec fixed income securities businesses is the world's leading electronic broker of fixed income securities with a daily average transaction volume in excess of $1 trillion, 50% of which is electronic. The Group is active in the wholesale market for OTC derivatives, fixed income securities, money market products, foreign exchange, energy, credit and equity derivatives.

ICAP Energy was named Broker of the Year by Energy RISK magazine in a poll of market participants.

About United:

Founded in late 1980, United Fuels International, Inc. and its affiliated companies comprise one of the leading integrated energy brokerage firms in the United States. In the over-the-counter ("OTC') market, United acts as a broker of spot and long term transactions between commercial industry participants. In the futures market, the Company provides floor brokerage execution on the New York Mercantile Exchange. ('NYMEX"), as well as full service introducing brokerage, technical advisory and newsletter services for energy futures and options to industry clients. United's customer base includes major oil companies, independent refiners, domestic and international investment banks, domestic and international trading firms, petroleum marketers, airline companies, electric utility companies, industrial manufacturers, petrochemical companies, and managed futures funds.

The acquisition includes United Fuels International, Inc., United Crude Oil, Inc., United Domestic Crude Oil, Inc., United Power, Inc., and United Energy, Inc.

Contacts: Dennis Crum ICAP Energy - US (1) 502 212 4903 Paul Newman ICAP Energy - UK (44) 7000 5000 Ivette Collazo ICAP N.A.- Media Relations (1) 212 815 6886 Mike Sheard Director of Corporate Affairs (44) 20 7050 7103

ICAP Energy LLC

CONTACT: Dennis Crum of ICAP Energy - US, +1-502-212-4903, or PaulNewman of ICAP Energy - UK, +44-7000-5000, or Ivette Collazo of ICAP N.A.-Media Relations, +1-212-815-6886, or Mike Sheard, Director of CorporateAffairs of ICAP, +44-20-7050-7103

Web site: http://www.truequote.com/

Source: PRNewswire

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