Struggling telecommunications company Global Crossing announced Monday that it will sell its IPC Trading Systems unit to an investment group led by Goldman Sachs Capital Partners 2000 for $360 million in cash.
Originally acquired in June 2000 by Global Crossing as part of the acquisition of IXNet, IPC Trading Systems provides desktop trading systems to the financial community.
IPC will operate as an independent company with headquarters in New York.
“The divestiture of IPC, as well as other non-core assets such as Global Marine Systems, will strengthen our focus on becoming one of the worlds leading telecommunications service providers, and at the same time improve our companys cash position,” said, John Legere, chief executive officer of Global Crossing, in a prepared statement.
Just last week, Global Crossing announced it was laying off 700 employees.
Global Crossing will also enter into a six-year agreement to be the preferred provider for IPC, and will continue to partner with IPC to provide service to financial institutions.
The deal is expected to close at the end of the year.
Global Crossing stock was up 0.13 to 1.37 in early trading Monday.