REG - IG Group Hldgs plc - Proposed sale of Nadex and Small Exchange

IG groupAnnouncement

01/12/2021 07:00

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RNS Number : 1717U  IG Group Holdings plc  01 December 2021

IG Group Holdings plc

LEI No: 2138003A5Q1M7ANOUD76

 

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OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE
RELEVANT LAWS OF THAT JURISDICTION

 

FOR IMMEDIATE RELEASE

 

IG GROUP HOLDINGS PLC

Proposed sale of Nadex and Small Exchange

1 December 2021

 

IG Group Holdings plc ("IG" and, together with its subsidiaries, the "Group")
today announces the proposed sale of North American Derivatives Exchange,
Inc. ("Nadex") and Small Exchange, Inc. ("Small Exchange"), the latter of
which the Group owns approximately 39%, to Foris DAX Markets, Inc. (part of
the group of companies trading as "crypto.com").

 

The proposed sale is a cash transaction with an approximate, aggregate price
for the IG shareholdings in both companies of $216 million. The closing of the
transaction is expected to be in the first half of 2022, subject to the
satisfaction of customary conditions, including regulatory review.

 

This transaction does not materially impact full-year adjusted operating
profit expectations nor the medium-term revenue growth guidance for High
Potential Markets previously provided in July 2021.

 

"We're really excited by this deal, as it delivers a significant return on the
previous investments made in Nadex and Small Exchange and enables additional
investment across all our businesses. This deal also allows us to further
sharpen our focus on integrating and expanding the US options and futures
business through our tastytrade and tastyworks franchises, both in the US and
internationally, where we see significant room for growth." said June Felix,
CEO, IG Group.

 

 

Contact information

 

 IG Group Investor Relations     IG Group Press                  FTI Consulting

 Richard Heading / Simon Wright  Ramon Kaur                      Neil Doyle

 020 7573 0742 / 0099            020 7896 0011 / 07388 440 127   0777 1978 220

 investors@ig.com                press@ig.com

 

 

Foris DAX Markets, Inc. (part of the group of companies trading as
"crypto.com")

 

Founded in 2016, Crypto.com today serves over 10 million customers with the
world's fastest growing crypto app, along with the Crypto.com Exchange and
Crypto.com DeFi Wallet. Crypto.com NFT is the premier platform for collecting
and trading NFTs, carefully curated from the worlds of art, design,
entertainment and sports. Information obtained from the crypto.com website,
available here: https://crypto.com/about
(https://eur01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fcrypto.com%2Fabout&data=04%7C01%7CRichard.Heading%40ig.com%7C583390a6f36a449bfd2608d9b439e7bc%7C4b4cca9cedaf42f38e219070c5d9d76b%7C0%7C0%7C637738983052747266%7CUnknown%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwMDAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6Mn0%3D%7C3000&sdata=yZtYV7slLMEhDRUuqYiLohF9ZE%2BzzwZfXS7X2Hj%2BlpE%3D&reserved=0)
.

 

North American Derivatives Exchange, Inc. ("Nadex")

 

Nadex is a US derivatives exchange for binary options, call spreads, and
knock-outs. It provides access to opportunities across global financial
markets, including US and international indices, major forex pairs,
commodities and economic events. Nadex is regulated by the Commodity Futures
Trading Commission (CFTC).

 

Small Exchange, Inc. ("Small Exchange")

 

Small Exchange is a CFTC approved US futures exchange which was founded in
January 2019 and opened for trading on June 1, 2020. Small Exchange offers
small, standardised futures products on a range of underlying products to
simplify access to the futures markets.

 

Disclaimer - forward-looking statements

 

This announcement may contain forward-looking statements about IG 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 variations or comparable
terminology.

 

Forward-looking statements involve known and unknown risks, uncertainties,
assumptions and other factors which are beyond IG's control and are based on
IG'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 IG's Annual Report for the financial year ended 31 May
2021. The Annual Report can be found on IG's website (www.iggroup.com
(http://www.iggroup.com) ).

 

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

 

Some numbers and period on period percentages in this statement have been
rounded or adjusted to ensure consistency with the financial statements.
This may lead to differences between subtotals and the sum of individual
numbers as presented.  Acronyms used in this report are as defined in the
Group's Annual Report.

 

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 and no statement in this announcement should be interpreted to
mean that earnings or earnings per share for IG Group Holdings plc for the
current or future financial years would necessarily match or exceed the
historical published earnings or earnings per share for IG Group Holdings plc.

 

About IG

 

IG Group has been at the forefront of trading innovation since 1974. Since
then, we've evolved into a global fintech company incorporating the IG,
tastytrade, IG Prime, Spectrum and DailyFX brands, with a presence in Europe,
North America, Africa, Asia-Pacific and the Middle East. Our award-winning
products and platforms empower ambitious people the world over to unlock
opportunities around the clock, giving them access to over 19,000 financial
markets. Today, more than 400,000 clients call IG Group home.

 

IG Group Holdings plc is an established member of the FTSE 250 and holds a
long-term investment grade credit rating of BBB- with a stable outlook from
Fitch Rating.

 

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