MXC Capital to acquire parent company

25th Aug 2015 10:09

(ShareCast News) - Investment group MXC Capital has reached an agreement to acquire parent company MXC Holdings in an all-share deal worth £15m.The London-listed company said the acquisition, aimed at consolidating the company's activities and investments, will be carried out by MXC Guernsey.Under the terms of the contract, MXC Capital will issue 1.65bn shares, worth a combined £45.35m, to the owners of its parent company and will indirectly assume control of all the issued share capital of MXC Holdings via MXC Guernsey, with the latter owning a 24.89% stake in the former.As part of the deal, MXC Capital will also own its parent company's 4.04% stake in Redcentric, as well as options over an additional 6% stake in the group and shares in two privately owned software firms.In a statement on Tuesday, MXC said it had £28m of capital to invest, adding it had "encouraging" opportunities in its pipeline.MXC Capital shares were down 10.07% to 2.61p at 1024 BST on Tuesday.