Acquisition

RNS Number : 3132D

IG Group Holdings plc

28 June 2021

 

IG Group Holdings

LEI No: 2138003A5Q1M7ANOUD76

28 June 2021

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, IN, INTO, OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF THAT JURISDICTION

FOR IMMEDIATE RELEASE

Completion of Acquisition of tastytrade, Inc by IG Group Holdings plc

and Issuance of New Shares

IG Group Holdings plc ("IG", "the Company"), a global leader in online trading, confirms the completion of its acquisition (the "Transaction")  of tastytrade, Inc ("tastytrade") an online brokerage and investor education platform with a leading position in the U.S. listed options and futures market, effective 28 June 2021.

June Felix, Chief Executive Officer, IG Group:

"This transaction marks another important milestone in the delivery of IG's growth strategy, diversifying our product offering and significantly strengthening our global franchise.

I am thrilled to welcome tastytrade to the IG family. tastytrade is an innovative, high growth, high margin business giving us immediate scale in the largest retail options and futures market in the world.  tastytrade will significantly enhance our client proposition, broadening choice and opportunity while providing products, tools and educational resources to empower financial decision making."

Issuance of shares

The Company has received all the necessary regulatory and anti-trust approvals and satisfied all necessary pre-conditions to complete its acquisition of tastytrade, Inc. The total consideration comprises $300 million in cash and the issuance of 61,000,000 new ordinary shares in the Company (the "Consideration Shares") to tastytrade shareholders. 

Application has been made for the admission of the Consideration Shares, which will rank pari passu in all respects with the Company's existing ordinary shares in issue, to the premium listing segment of the Official List of the Financial Conduct Authority and to trading on the main market for listed securities of the London Stock Exchange ("Admission"). Admission is expected to become effective and unconditional at 8am, 29 June 2021 with dealings in the Consideration Shares expected to commence on the same day.

Subject to Admission, the total number of ordinary shares of 0.005p each with voting rights in issue will be 431,299,455.

The intended acquisition of tastytrade was previously announced on 21 January 2021.

IG's next scheduled market announcement will be its full year FY21 results on 22 July 2021.

For queries, please contact:

IG Group Investors    IG Group Press  FTI Consulting

Liz Scorer      Ramon Kaur  Neil Doyle / Ed Berry 

020 7573 0727    020 7573 0060     020 3727 1141 / 1046

[e-mail]                                               [e-mail]

Forward-looking statements

This announcement, prepared by the Company, may contain forward-looking statements about the Company and its subsidiaries (the "Group"). Such forward-looking statements can be identified by the use of forward-looking terminology, including the terms "believes", "projects", "estimates", "plans", "anticipates", "targets", "aims", "continues", "expects", "intends", "hopes", "may", "will", "would", "could" or "should" or, in each case, their negative or other various or comparable terminology. 

Forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors which are beyond the Company's control and are based on the Company's beliefs and expectations about future events as of the date the statements are made. If the assumptions on which the Group bases its forward-looking statements change, actual results may differ from those expressed in such statements. There are a number of factors that could cause actual results and developments to differ materially from those expressed or implied by these forward-looking statements, including those set out under "Principal Risks" in the FY20 Group Annual Report for the financial year ended 31 May 2020. The Annual Report can be found on the Company's website (www.iggroup.com).

Forward-looking statements speak only as of the date they are made. Except as required by applicable law and regulation, the Company undertakes no obligation to update these forward-looking statements.

No offer or solicitation

This announcement is not intended to, and does not constitute, or form part of, any offer to sell or an invitation to purchase or subscribe for any securities or a solicitation of any vote or approval in any jurisdiction.

No profit forecasts or estimates

No statement in this announcement is intended as a profit forecast or estimate for any period

About IG

IG empowers informed, self-directed, ambitious people to access opportunities in over 17,000 financial markets. With a strong focus on innovation and technology, the Company puts client needs at the heart of everything it does.

IG's vision is to provide the world's best trading experience. Established in 1974 as one of the world's first providers of financial derivatives to retail traders, it continued leading the way by launching the world's first online and iPhone trading services.

IG is an award-winning, multi-product trading company which allows retail, professional and institutional clients to trade 24 hours a day, 7 days a week^[1]. IG is the world's No.1 provider of CFDs^[2] and a global leader in forex derivatives. It provides leveraged services with the option of limited-risk guarantees and offers an execution-only stock trading service in the UK and Australia. IG has a range of affordable, fully managed investment portfolios, which provide a comprehensive offering to investors and active traders.

IG is a member of the FTSE 250, with offices across Europe, including a Swiss bank, Africa, Asia-Pacific, the Middle East and North America. IG Group Holdings plc holds a long-term investment grade credit rating of BBB- with a stable outlook from Fitch Ratings.

 

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[1] Excluding 10pm Friday (GMT) to 8am Saturday (GMT)

[2] Based on revenue excluding FX (from published financial statements, June 2020)

 

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