INTL FCStone plans to use $350 million new secured notes to fund GAIN Capital acquisition

By Paul A. Harris

Portland, Ore., Feb. 27 – INTL FCStone Inc. plans to sell $350 million of senior secured notes in order to fund its acquisition of GAIN Capital Holdings, Inc., according to information disclosed in an 8-K document filed on Thursday with the Securities and Exchange Commission.

Jefferies LLC provided the financial commitment.

INTL FCStone plans to acquire GAIN Capital Holdings for $236 million. The transaction is expected to close in the middle part of 2020.

GAIN Capital will use cash on hand to repay $60 million of its convertibles due 2020 prior to closing the acquisition.

Upon closing, GAIN intends to redeem $92 million of its convertible notes due 2022.

New York City-based financial services company INTL FCStone provides execution, post-trade settlement, clearing and custody services.

Bedminster, N.J.-based financial services company GAIN Capital provides trading technology and execution services to retail and institutional investors.

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