Jefferies Financial Group

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Jefferies Financial Group Inc.
FormerlyLeucadia National Corporation[1]
TypePublic
IndustryConglomerate
FounderIan M. Cumming
Joseph S. Steinberg
HeadquartersNew York City
Key people
Richard B. Handler, CEO
Brian P. Friedman, President
Joseph S. Steinberg, Chairman[2]
Revenue Increase US$11.436 billion (2017)[2]
Increase US$167.4 million (2017)[2]
Total assets Increase US$87.2 billion (2017)[2]
Total equity Decrease US$10.1 billion (2017)[2]
Number of employees
4,100 (2021)[3]
Websitejefferies.com

Jefferies Financial Group Inc. is an American financial services company based in New York City and listed on the Fortune 1000.[4][5][6]

Investments[]

The company's major holdings are as follows:[2]

Financial Services[]

  • Jefferies Group (100%) - investment banking & capital markets
  • Berkadia Commercial Mortgage (50/50 joint venture with Berkshire Hathaway) - commercial mortgage banking, investment sales and servicing
  • HomeFed (65% ownership) - Builder of Master Planned Communities, Income Properties, Land Holdings
  • FXCM (49.9%) - online foreign exchange trading
  • Foursight Capital (100%) - vehicle finance

Others[]

  • HRG Group (23%) - insurance and consumer products
  • Vitesse Energy (96%) - oil and gas exploration and development
  • Juneau Energy (98%) - oil and gas exploration and development
  • Garcadia Holdings (75%, Joint venture with Ken Garff Automotive Group) - automobile dealerships
  • Linkem (57%) - fixed wireless broadband services
  • Golden Queen (35%) - a gold and silver mining project
  • Idaho Timber (100%) - manufacturing

History[]

In 1970, Ian Cumming and Joseph S. Steinberg both graduated in from Harvard Business School and went to work for Carl Marks & Company, an investment bank.[7]

In 1979, they gained control of Talcott National Corporation, sold the James Talcott Factors division, and, in 1980, they renamed the company Leucadia.[7]

In 1984, the company made a $61 million profit on its $77 million investment in Avco Corporation by forcing the sale of the company to Textron.[7]

In 1991, the company acquired insurer Colonial Penn from Florida Power & Light for $150 million.[8]

In 1997, the company sold the life insurance division of Colonial Penn to Conseco for $460 million[9] and sold the auto insurance division of Colonial Penn to GE Capital for $950 million.[10]

In 1998, the company sold Charter National Life Insurance and Intramerica Life Insurance to Allstate.[11]

In 2002, the company received a 44% stake in WilTel Communications Group as a result of a bankruptcy reorganization.[12]

In May 2003, the company made an offer to acquire the remaining shares of WilTel Communications Group that it did not already own.[13]

In August 2003, after increasing its offer, the company acquired the remaining shares of WilTel Communications Group.[14]

In September 2003, the company acquired RehabWorks.[15]

In January 2004, the company financed Pershing Square Capital Management, a hedge fund managed by Bill Ackman.[16]

In July 2004, the company sought, but failed, to buy a controlling stake in MCI Communications.[17][18] In September 2004, the company sold its stake in MCI for a $20 million profit.[19]

In 2005, the company sold WilTel Communications Group to Level 3 Communications for a $180 million profit.[20]

In 2007, the company acquired ResortQuest International from Gaylord Hotels for $35 million.[21]

In 2009, the company entered into a 50/50 joint venture with Berkshire Hathaway called Berkadia, which acquired the North American loan origination and servicing business of Capmark Financial Group.[22]

In 2010, the company sold ResortQuest International to Wyndham Worldwide for $56 million in cash.[23]

In 2011, the company acquired a 79% interest in National Beef Packing Company for $867.9 million.[24][25]

In 2012, the company proposed building a $3 billion syngas facility in south Chicago to convert coal and petroleum waste into natural gas; however, the plant never received legislative approval.[26]

In 2013, the company merged with Jefferies Group and Richard Handler became chief executive officer of the company.[27]

In 2015, the company made an investment in FXCM after FXCM suffered losses due to the appreciation of the Swiss Franc.[28]

In 2016, the company restructured its investment in FXCM.[29]

In May 2018, the company was renamed Jefferies Financial Group.[4][5]

References[]

  1. ^ "Leucadia National Corporation Changes Name to Jefferies Financial Group Inc". www.businesswire.com. May 23, 2018. Retrieved August 8, 2020.
  2. ^ a b c d e f Leucadia National Corporation 2017 Form 10-K Annual Report
  3. ^ https://fortune.com/company/leucadia-national/fortune500/[bare URL]
  4. ^ a b Prang, Allison (April 9, 2018). "Leucadia to Focus More on Financial Business". Wall Street Journal. ISSN 0099-9660. Retrieved July 2, 2018.
  5. ^ a b "BRIEF-Leucadia National Corp Changes Name To Jefferies Financial Group Inc". Reuters. May 23, 2018. Retrieved May 28, 2018.
  6. ^ "Fortune 500 Companies 2019: Who Made the List". Fortune. Retrieved September 25, 2019.
  7. ^ a b c CRUDELE, JOHN (May 25, 1985). "LEUCADIA: SUCCESSFUL LONER". The New York Times.
  8. ^ KOLODY, TRACY (April 6, 1991). "Fpl Group Finds Buyer For Insurer Colonial Penn Brings In $150 Million". Sun-Sentinel.
  9. ^ "Conseco Planning to Acquire Colonial Penn". The New York Times. Bloomberg News. May 1, 1997.
  10. ^ "GE Capital to Buy Colonial Penn". Los Angeles Times. Reuters. July 1, 1997.
  11. ^ "Allstate to buy 2 Leucadia companies". Deseret News. Bloomberg News. December 22, 1998.
  12. ^ "Williams Communications emerges from bankruptcy as WilTel". American City Business Journals. October 16, 2002.
  13. ^ "Leucadia National Corporation Proposes to Acquire WilTel Communications Group, Inc. Common Stock" (Press release). Business Wire. May 15, 2003.
  14. ^ "Hardware: Leucadia To Acquire Remainder Of Wiltel". The New York Times. Bloomberg News. August 13, 2003.
  15. ^ George, John (September 29, 2003). "Leucadia National buys RehabWorks". American City Business Journals.
  16. ^ Swarts, Will (January 12, 2004). "Gotham Partners' Ackman Back in Hedge Fund Game". TheStreet.com.
  17. ^ BELSON, KEN (July 13, 2004). "Leucadia Seeks to Buy Controlling Stake in MCI". The New York Times.
  18. ^ Tharp, Paul (July 13, 2004). "LEUCADIA EYES MCI TAKEOVER". The New York Post.
  19. ^ Stern, Christopher (September 28, 2004). "Declared Suitor Sells Its Stake In MCI". The Washington Post.
  20. ^ "Leucadia National Corporation Completes Sale of WilTel Communications Group, LLC to Level 3 Communications, Inc" (Press release). Business Wire. December 23, 2005.
  21. ^ "Gaylord Sells Mainland ResortQuest Business". Hotel Business Review. June 5, 2007.
  22. ^ "Berkadia Commercial Mortgage LLC Completes Acquisition of Capmark's North American Loan Origination and Servicing Business" (Press release). Business Wire. December 11, 2009.
  23. ^ "Wyndham to buy ResortQuest for $56 million". Bloomberg News. NJ.com. September 22, 2010.
  24. ^ "Leucadia National Corporation Announces Agreement to Acquire Control of National Beef and Declares $0.25 Per Share Cash Dividend" (Press release). Business Wire. December 5, 2011.
  25. ^ Hawleyt, Brenna (December 6, 2011). "National Beef owners reach $867.9M deal to sell majority stake to Leucadia". American City Business Journals.
  26. ^ Murtaugh, Dan (January 12, 2012). "Illinois ruling hurts Leucadia synthetic gas proposal". The Birmingham News.
  27. ^ "Leucadia National Corporation and Jefferies Group, Inc. Merger to Be Effective March 1, 2013" (Press release). Business Wire. February 28, 2013.
  28. ^ Stone, Mike; Chavez-Dreyfuss, Gertrude; Toonkel, Jessica (January 16, 2015). "FX broker FXCM gets rescue from Jefferies parent Leucadia". Reuters.
  29. ^ "Leucadia and FXCM Complete Long-Term Partnership Agreement" (Press release). GlobeNewswire. September 1, 2016.

External links[]

Official website

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