London Capital Group "facing undisclosed takeover offers"

2nd Jul 2014 09:50

Embattled spread-betting firm London Capital Group has allegedly turned down a number of takeover bids that, according to media speculation, would benefit shareholders more than the financing it will put to them at an emergency meeting on Thursday.The spread-betting and CFD company recently proposed to raise up to £17.5m through a financing that will see financier Charles-Henri Sabet become Executive Chairman as his GLIO Holdings vehicle subscribes for convertible loan notes of up to £15m and up to up to 75m of warrants.But Spreadbet Magazine, a title managed by editor Zak Mir and former T1ps.com writer Richard Gill, alleged the "take-under" by Sabet had been bettered by two approaches that "look to be materially more beneficial for current shareholders than the current proposed structure" but that the current board of LCG "appear not to be disclosing these offers to shareholders".The magazine, whose contributor Richard Jennings and clients of his Titan Investment Partners hold positions in LCG, said it has spoken to the company's nominated adviser to question why it has not been rather more overt in the company's disclosure to the market of these approaches, but had been rebuffed.But LCG pointed out in a statement on Wednesday that it has previously disclosed its engagement "from time to time" in "discussions with third parties - including competitors - with regard to possible mergers and acquisitions transactions". But LCG insisted it had "no current intention to pursue any such mergers or acquisitions or similar transactions".Shares in LCG were up 2.35% to 21.75p at 11:25 on Wednesday.OH