Apparently online discount brokerage company TradeKing is working with Bank of America Corp (NYSE:BAC) to find a buyer for the company, according to a report by Bloomberg.
TradeKing could fetch as much as $300 million in a sale according to Bloomberg, citing anonymous sources.
LeapRate had exclusively reported last week that TradeKing had some recent technology problems, with its online share order system going down last Thursday.
TradeKing is the (relatively) new kid on the block in the US online discount brokerage business. Founded in 2005, TradeKing competes with companies such as E*TRADE Financial Corp (NASDAQ:ETFC), Scottrade Inc., Charles Schwab, Fidelity Brokerage and TD Ameritrade. TradeKing charges investors a flat rate of $4.95 per stock trade, requiring no minimum account balance.
TradeKing also offers retail forex trading, via subsidiary TradeKing Forex, LLC which acts as an introducing broker to Gain Capital Holdings Inc (NYSE:GCAP) and its Forex.com unit.
TradeKing has grown in part via acquisitions, with its most recent purchase being futures and forex broker MB Trading. TradeKing merged with rival online broker Zecco Holdings in 2012.
TradeKing CEO Don Montanaro had said in a recent interview that TradeKing is well-positioned for growth because half of its customers are 35 or younger.
TradeKing’s shareholders include venture capital firms Battery Ventures, Velocity Capital, and OCA Ventures.