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Acquisitions | 9 Months Ended
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Sep. 30, 2025
Business Combination, Asset Acquisition, Transaction between Entities under Common Control, and Joint Venture Formation [Abstract] |
Acquisitions | Acquisitions There was one acquisition completed by the Company during the nine months ended September 30, 2025. There were no acquisitions completed by the Company during the nine months ended September 30, 2024. Sage On October 1, 2024, the Company completed the acquisition of Sage, an energy and environmental brokerage firm. OTC Global On April 1, 2025, the Company completed the acquisition of OTC Global, an energy and commodities brokerage firm, for $325.0 million, subject to post-closing adjustments. Of this amount, $309.3 million was determined to represent the fair value of the consideration transferred in connection with the acquisition. The remaining $15.7 million relates to compensation arrangements with future service requirements and, in accordance with ASC 805, Business Combinations, is excluded from the purchase price consideration and will be recognized as compensation expense over the requisite service periods. Since April 1, 2025, the results of OTC Global’s operations have been included in the Company’s unaudited Condensed Consolidated Financial Statements. The Company acquired 100% of the equity in OTC Global and its subsidiaries, and funded the transaction based on a combination of cash on hand, borrowings on its Revolving Credit Agreement, and using net proceeds raised through debt issuances in the first quarter of fiscal year 2025. The acquisition of OTC Global expanded and diversified the Company’s global ECS business. The Company accounted for the OTC Global acquisition as a business combination under the acquisition method of accounting and recorded the assets acquired and liabilities assumed at their fair values as of April 1, 2025. The Company is in the process of obtaining the information necessary to identify and measure the assets acquired and liabilities assumed, and therefore adjustments to the preliminary allocations may occur during the measurement period. The following tables and related disclosures summarize the components of the purchase consideration transferred, the preliminary allocation of the assets acquired, and liabilities assumed based on the fair values as of April 1, 2025, and the related estimated useful lives of the amortizable intangible assets acquired. Calculation of the purchase price consideration transferred (in thousands, except share data):
| April 1, 2025
Cash | $ | 318,859 |
Fair value of Restricted Shares of BGC Class A common stock (268,257 shares) | 2,507 |
Other | 3,634 |
Less: compensation arrangements with required future service periods | (15,717) |
Total purchase price consideration transferred | $ | 309,283 |
The preliminary allocation of the assets acquired and the liabilities assumed in the OTC Global acquisition are as follows (in thousands):
| April 1, 2025
Cash and cash equivalents | $ | 23,327 |
Receivables from broker-dealers, clearing organizations, customers and related broker-dealers | 716 |
Accrued commissions and other receivables, net | 90,941 |
Loans, forgivable loans and other receivables from employees and partners, net | 13,650 |
Fixed assets, net | 3,640 |
Finite-lived intangible assets | 219,400 |
Investments | 838 |
Other assets | 33,468 |
Total identifiable assets acquired | 385,980 |
Accrued compensation | 82,899 |
Accounts payable, accrued and other liabilities | 105,919 |
Total liabilities assumed | 188,818 |
Net identifiable assets acquired | 197,162 |
Goodwill | 112,121 |
Net assets acquired | $ | 309,283 |
The $219.4 million of Finite-lived acquired intangible assets is subject to a weighted-average useful life of approximately 11.5 years. Those definite life intangible assets included Technology of $62.1 million (10 year useful life), Trademarks of $18.2 million (10 year useful life), and Customer relationships of $139.1 million (13 year useful life). As noted earlier, the fair value of the acquired identifiable intangible assets is provisional pending completion of the final valuations for these assets. The excess of total consideration over the fair value of the total net assets acquired of approximately $112.1 million has been recorded to goodwill and allocated to the Company’s one reportable segment, brokerage services, which is managed on a consolidated basis. The goodwill recognized is attributable primarily to expected synergies to be gained from combining operations of the Company and OTC Global. The preliminary estimate of goodwill that is expected to be deductible for tax purposes is approximately $25.8 million. The fair value of the accounts receivable acquired is $91.7 million with the gross contract amount being $93.4 million. The Company has recorded an expected allowance for credit losses of $1.7 million as of April 1, 2025. The Company did not recognize any acquisition-related costs that were expensed during the three months ended September 30, 2025. The Company recognized $0.4 million of acquisition-related costs that were expensed during the nine months ended September 30, 2025. These costs are included in the Company’s unaudited Condensed Consolidated Statement of Operations within Professional and consulting fees. The amounts of revenue and earnings from OTC Global included in the Company’s unaudited Condensed Consolidated Statement of Operations from April 1, 2025 to the period ending September 30, 2025 are as follows (in thousands):
| Revenues and Earnings included in the Company’s unaudited Condensed Consolidated Statement of Operations from April 1, 2025 to September 30, 2025
Revenues | $ | 227,230 |
Consolidated net income | $ | 17,548 |
The following unaudited pro forma summary of revenues and consolidated net income presents consolidated information of the Company as if the acquisition of OTC Global had occurred on January 1, 2024 (amounts in thousands). The unaudited pro forma results are not indicative of operations that would have been achieved, nor are they indicative of future results of operations. The unaudited pro forma results do not reflect any potential cost savings or other operational efficiencies that could result from the acquisition. However, the amounts have been calculated after applying the Company’s accounting policies and adjusting the results of OTC Global, which mainly consisted of removing approximately $1.0 million and $3.0 million of OTC Global’s Goodwill amortization, for the three and nine months ended September 30, 2024, respectively, and $1.0 million for the nine months ended September 30, 2025, which had been applied under the Private Company Council Accounting Alternative for Goodwill and pursuant to ASC 350, Intangibles — Goodwill and Other.
Pro Forma Consolidated Income Statement (in thousands)
(unaudited)
| Three Months Ended September 30, |  | Nine Months Ended September 30,
| 2025 |  | 2024 |  | 2025 |  | 2024
Pro forma revenues | $ | 736,849 |  |  | $ | 674,860 |  |  | $ | 2,301,082 |  |  | $ | 2,026,367 |
Pro forma consolidated net income | $ | 26,062 |  |  | $ | 17,671 |  |  | $ | 145,410 |  |  | $ | 120,930 |
Total Consideration The fair value of the total consideration for the acquisition during the nine months ended September 30, 2025 was approximately $309.3 million, subject to post-closing adjustments, which included cash and restricted shares of BGC Class A common stock. The excess of the consideration over the fair value of the net assets acquired has been recorded as goodwill totaling $112.1 million. The total consideration for all acquisitions during the year ended December 31, 2024 was approximately $87.3 million, which included cash, restricted shares of BGC Class A common stock, and an earn-out payable in cash and restricted shares of BGC Class A common stock. The excess of the consideration over the fair value of the net assets acquired has been recorded as goodwill totaling $30.9 million. Except where otherwise noted, the results of operations of the Company’s acquisitions have been included in the Company’s unaudited Condensed Consolidated Financial Statements subsequent to their respective dates of acquisition. The Company has made preliminary allocations of the consideration to the assets acquired and liabilities assumed for Sage, as of the acquisition date, and expects to finalize its analysis with respect to the acquisition within the first year after the completion of the transaction. Therefore, adjustments to preliminary allocations may occur.

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