UPDATE 1-Tullett confirms in offer talks, shares rise

Wed Mar 10, 2010 4:35am EST

* Says in preliminary talks that might lead to offer

* Daily Mail reported Macquarie, Bank of China interested

* Tullett shares rise 16 percent (Adds Daily Mail report, shares, background)

LONDON, March 10 (Reuters) - Interdealer broker Tullett Prebon (TLPR.L) confirmed it was in preliminary talks that might lead to an offer after a UK newspaper reported Macquarie Group and Bank of China were interested, boosting its shares sharply.

"The board of Tullett Prebon notes recent press speculation regarding the company and confirms it is in preliminary discussions with a third party, which may or may not lead to an offer being made for the entire issued share capital," the British broker said in a statement on Wednesday.

There is no certainty an offer will be forthcoming, it added.

Daily Mail said that Macquarie Group (MQG.AX), Australia's top investment bank, and Bank of China (601988.SS), the country's fourth-largest lender, "are apparently running the slide rule over Tulletts", and that the Chinese wants to get involved in interdealer broking.

Tullett shares were up 16.3 percent at 360.7 pence at 0915 GMT.

Earlier this week, the world's second-biggest interdealer broker posted a 1 percent rise in adjusted pretax profit to 157 million pounds ($234.2 million) for 2009, slightly exceeding forecasts. [ID:nLDE62705U] ($1=.6702 Pound) (Editing by Hans Peters)

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