By Saijel Kishan and Whitney Kisling - Aug 5, 2012 2:53 PM ET
Knight (KCG) Capital Group Inc., fighting for survival after a $440 million loss spurred by a software failure, worked to find an investor after people familiar with the matter said two potential suitors were no longer interested.
Citadel LLC and KKR & Co. are no longer exploring an investment, the people said. Knight, responsible for about 10 percent of American equity volume, turned to Goldman Sachs Group Inc. (GS) on Aug. 1 to buy the firm out of trading positions acquired by mistake when a computer program malfunctioned, a person with knowledge of the matter said. It has until the close of business on Aug. 6 to complete the transaction.