StoneX Group Inc. (NASDAQ:SNEX), owner of Forex brands such as FOREX.com and City Index, filed its latest Report 10-K with the Securities and Exchange Commission (SEC).
The document, among other things, sheds light on StoneX’s post-acquisition commitment regarding the deal with GAIN Capital which was officially completed in the summer of 2020.
In its 10-K report, StoneX explains that, after the acquisition date of Gain Capital Holdings, Inc on July 30, 2020, holders of 3.6 million shares of Gain common stock outstanding on the date of the Gain acquisition that did not vote in favor of the merger allegedly claimed appraisal rights under Section 262 of the Delaware General Corporation Law in Delaware State Court.
On September 30, 2023, the merger consideration of $20.1 million, based on approximately 3.4 million Dissenting Shares and assuming the right to receive $6.00 per share on the acquisition date, remains payable. Any subsequent settlement with the Dissenting Holders in excess of such amount will be deemed to be the settlement of a post-acquisition contingency that will be included in StoneX’s Consolidated Statements of Income following the acquisition.
As FNG reported, StoneX closed its acquisition of GAIN Capital in July 2020.
The transaction paid GAIN Capital shareholders $6 per share in cash, for a total transaction value of $236 million.