Troubled commodities broker Refco Inc. on Monday said it is discussing the sale of its futures brokerage business, the heart of the company, to a group of investors led by private equity firm J.C. Flowers & Co. LLC.
The company said it is in “advanced negotiations” to sell Refco LLC, Refco Overseas Ltd., Refco Singapore Pte. and certain related subsidiaries and other assets. Refco’s financial situation deteriorated quickly following the disclosure last week that former CEO Phillip R. Bennett hid a $430 million debt from the company’s books.
