FXCM Inc. (NASDAQ:FXCM) has embarked on a $15 million ‘at-the-market’ offering program, which features an expanded share offering of its Class A common stock via Jefferies LLC. The program is intended to help kindle proceeds towards alleviating the group’s current indebtedness, incurred in part due to its previous Leucadia deal.
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FXCM recently sold off its DailyFX platform to IG Group for $40 million – following transaction FXCM will have repaid over half of its overall loan balance, with $157 million covered and $153 million outstanding. To help accelerate this payoff however, FXCM has also opted to introduce new share offerings. Per the details of the share program, FXCM has reserved the option to offer or sell shares of its common stock, with a maximum ceiling of $15 million.
In particular, FXCM’s sale of common stock under the new directive may also be used in negotiated transactions or transactions that are characterized as ‘at-the-market offerings’, which includes sales made directly on the NASDAQ Global Market or sales made to or through a market maker beyond the exchange itself.
At the time of writing, FXCM’s shares are trading at $8.51, down -2.96% ahead of the US open Monday, its lowest price since July 2016.