Log In

Reset Password

MF Global names Corzine new CEO

NEW YORK (Reuters) - Jon Corzine, the former New Jersey governor and ex-Goldman Sachs Group Inc chief executive, was named CEO and chairman of Bermuda-based MF Global Holdings Ltd, a futures and options broker that has lost money for the last four quarters.

MF Global shares soared nine percent on the news that Corzine would replace Bernard Dan, who resigned as CEO for personal reasons. Corzine will also replace Alison Carnwath, who is retiring as chairman.

Corzine, who lost his re-election bid in New Jersey last year, joined Goldman Sachs as a bond trader in 1975 and worked his way up to co-CEO alongside Hank Paulson.

Corzine played a key role in helping Wall Street's dominant bank become publicly traded in 1999. He was ousted by Paulson, who went on to become US Treasury Secretary.

MF Global also said Corzine is being appointed as an operating partner at JC Flowers & Co LLC, a US private equity investor founded by former Goldman Sachs banker Christopher Flowers.

Dan will remain with the company through May 16 in an interim capacity to help the transition, the brokerage said.

MF Global said it expects net revenue for its fourth quarter ending March 31 to be $235 million to $245 million.

Analysts on average were expecting revenue of $260.6 million for the quarter, according to Thomson Reuters.

In February, MF Global posted its fourth straight quarterly loss.

Shares of the company rose 66 cents to $8.00 after the bell. They closed up 15 cents at $7.32 on the New York Stock Exchange.