BKI - Black Knight gains on report of potential Empower sale in ICE deal

Black Knight ( NYSE: BKI ) rose almost 2% after a report that mortgage data is putting its Empower loan origination software business up for sale as is tries to gain antitrust approval for its $13 billion planned sale to InterContinental Exchange ( NYSE: ICE ).

Black Knight ( BKI ) hired Truist to help explore a potential sale of Empower and has been soliciting interest from possible buyers, including private equity firms, according to a Reuters report, which cited people familiar. Empower may be valued at about $400 million.

The news comes after a CTFN report last month that bankers have been engaged about possible divestitures as ICE tries to get regulator approval for acquisition. The item also said also said the asset divestitures wouldn't necessarily solve the antitrust concerns. The CTFN report sent BKI night shares up 4% on Jan. 20.

Analysts and investors have been skeptical if the deal would pass antitrust regulators since the $13 billion planned acquisition of Black Knight was announced in early May. ICE in November said it c ertified its compliance with the FTC in regards to Black Knight.

Bank of America in a November upgrade of ICE an d said that the company would likely capitulate on divesting Empower to appease potential antitrust concerns.

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