(Bloomberg) -- Cantor Fitzgerald has told as many as 30 London-based staff that they may lose their jobs if the firm is unable to sell a U.K.-focused corporate finance division.
Employees in the affected team, which advises British small- and medium-sized businesses and has been up for sale since 2019, have been told they could be out of a job within three months should the firm be unable to conclude a sale, according to a person familiar with the matter, who asked not to be identified because it’s private.
The threat to cut headcount marks Cantor out from other well known names on Wall Street and in the City of London. Citigroup Inc., HSBC Holdings Plc, Lloyds Banking Group Plc, Morgan Stanley, and Wells Fargo & Co. are among firms to put planned job cuts on hold as a result of the economic upheavel stemming from the spread of the coronavirus.
New York-based Cantor this week signed an agreement with an unidentified firm to acquire the unit, said the person, without giving further details. Cantor is also trying to find roles for the impacted workers in other divisions, the person said.
Separately, Cantor appointed Sean Capstick interim chief executive officer for Europe, replacing Angelo Sofocleous, the person said.
Cantor, led by billionaire Howard Lutnick, is one of the few remaining partnerships on Wall Street. It employs 12,000 people globally and has been ramping up its trading business since hiring former Deutsche Bank AG co-CEO Anshu Jain.
The unit serves companies listed on exchanges like AIM. In recent years, listings of smaller companies have dried up and regulation such as MiFID II has prompted banks to reduce research on them.
A spokeswoman for Cantor declined to comment. Capstick and Sofocleous didn’t respond to messages seeking comment.
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