London Capital Group to be taken over?

On the 12th of February 2013, London Capital Group in accordance with London Stock Exchange takeover codes has announced that it is a takeover target for three firms; Cantor Fitzgerald Europe, GAIN Capital (better known as UK), CityIndex Ltd. (who operate CityIndex and FinSpreads). The three firms in question have approached the London Capital Group regarding a possible takeover. The announcement has spurred on a flurry of trading in shares of London Capital Group and has seen Slater Investments Ltd. and Legal & General both take on stakes in excess of 1% since the news has been released. 
A possible takeover by any of the three entities mentioned could lead to all of the companies gaining a much bigger market presence in the over-the-counter derivative marketplace. London Capital Group already represents one of the bigger CFD & Spread betting providers in the UK providing White Labels for a number of different companies including tradefair as well as running both Capital Spreads and ProSpreads. 
Previous to this announcement London Capital Group had a poor 2012 and post a small loss of £200,000. As well as posting poor share performance however since the announcement of a possible takeover the share performance has rallied somewhat. For developments regarding the takeover keep an eye on the regulatory news posted by London Capital Group.



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