GLIO takes majority stake in London Capital Group
GLIO Holdings is to acquire a majority stake in online trading services provider London Capital Group (LCG).
The company, owned by Charles-Henri Sabet, who is also chief executive of LCG, was created in 2014 to make major investments in the trading firm.
According to Alliance News, LCG will issue 195.7 million shares to GLIO through a subscription account at five pence per share, in addition to another 19.6 million shares as payment of commission at 10% charged on the initial subscription amount.
LCG will then issue another 71 million shares, also priced and five pence each through an open offer, while a further 7.1 million shares can be issued to GLIO as commission on the open offer shares.
The subscription agreement and open offer will raise approximately £14.7 million (€19.2 million/$21.6 million).
LCG said it will also issue another 18.6 million shares to GLIO, in response to a decision to redeem convertible loan notes held in the company, with this move raising around £4.7 million and, thus increasing the total to £19.4 million.
As a result, GLIO's total holding in LCG will rise from 11% to approximately 81%, increasing to 82% after the issue of the convertible loan notes.
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