Derivatives broker TP ICAP PLC (LON:TCAP) is still working on integration of the ICAP broking business as impairments and write-offs sent profits sharply lower in 2018.
Tullet Prebon, as it was called then, agreed to acquire ICAP in 2015 but joining the companies has been a protracted process.
“By then end of 2018 we had spent £130mln on the integration process and we anticipate a total cost of integration of £160mln,” said Nicholas Breteau, TP ICAP’s chief executive.
"This is a significant amount of money and not all of it has been spent as effectively as it should have been.
"However, it is necessary to spend to complete the integration so that we have a scalable platform from which to grow the business."
Breteau added good progress had been made over the past year though there is still work to do consolidating IT and data centres.
“We will complete the integration programme by the end of this year although activities to deliver further benefits from the ICAP acquisition will continue into 2020. “
Pre-tax profits fell 13% to £62mln in 2018, but that was after £183mln of restructuring. acquisition and goodwill costs.
Revenues rose slightly to £1.76bn.