Bond broker eSpeed rejects Tullett takeover bid

NEW YORK, April 19 (Reuters) - Electronic bond broker eSpeed Inc. ESPD.O said on Thursday it would not pursue an unsolicited takeover bid by British inter-dealer broker Tullett Prebon (TLPR.L) because its majority shareholder Cantor Fitzgerald does not want to pursue it.

Tullett said on Wednesday it offered $12 in cash for each Class A share of New York-based eSpeed, valuing the latter at roughly $605 million.

"Cantor has informed the board of directors of the company that it is not interested in selling its controlling interest," eSpeed said in a letter to Terry Smith, Tullett's chief executive. "The board (has determined) not to engage in a process with a competitor to pursue a proposed transaction that is incapable of consummation."

Shares of eSpeed fell 58 cents, or 5.5 percent, to $9.99 in afternoon trading on the Nasdaq. They had risen 92 cents on Wednesday.