Refco, the scandal-hit US broker, said it has agreed a memorandum of understanding to sell its futures brokerage business to investors led by JC Flowers, the buy-out firm, for $768m (€642m). Refco has filed for bankruptcy protection for other parts of its business.

Refco said in a statement: "The investor group includes JC Flowers, The Enstar Group, Silver Point Capital, MatlinPatterson Global Advisors and Texas Pacific Group. The company expects to execute definitive agreements shortly, although there can be no assurance a sale will be consummated."