JERSEY CITY, N.J. (AP) -- KCG Holdings Inc., which was formed by the combination of trading firms Knight Capital and Getco, said Wednesday that Executive Chairman Tom Joyce resigned from its board.
The company said Getco co-founder Stephen Schuler will be non-executive chairman of the combined company. Getco completed its $1.4 billion cash-and-stock purchase of Knight Capital on Tuesday. When the companies announced the deal in December, they said Getco CEO Daniel Coleman would become CEO and Joyce, the chairman and CEO of Knight, would become executive chairman.
Knight Capital Group Inc. takes stock trading orders from brokers like TD Ameritrade and E-Trade and routes them to exchanges. It had one of the most advanced platforms for trading brokerages, but it suffered more than $460 million in losses from a major software malfunction in August that sent shares of dozens of companies haywire. After the problem was traced to Knight, the company's shares lost three-fourths of their value in two days.
Knight ceded control of its operations on the New York Stock Exchange and Getco was one of the firms that helped bail it out.