LeapRate Exclusive… LeapRate has learned that FX brokerage group Gain Capital Holdings Inc (NYSE:GCAP) has added one of the most connected people in the London electronic trading scene to its board of directors – Mark Richards (pictured above), the CEO of IPGL Limited.
Michael Spencer
IPGL is the private holding company of Michael Spencer, founder and CEO of NEX Group PLC (LON:NXG), formerly known as ICAP. Mr. Richards became CEO of IPGL two years ago, joining after 11 years at multi-billion dollar emerging markets investment group Actis. He was previously CFO of the Barclays International Banking unit of Barclays Bank.
Mark Richards’ appointment to GAIN Capital’s Board of Directors was apparently made pursuant to a ‘director appointment right’ granted to a company called INCAP Gaming B.V., an affiliate of IPGL, dating back to GAIN’s 2015 acquisition of City Index for $118 million. Michael Spencer was the controlling shareholder of City Index, via IPGL.
IPGL has remained a major investor in GAIN Capital since the City Index acquisition, owning about 5.5 million GCAP shares worth about $45 million – 853,031 shares owned directly and another 4,629,950 shares held by IPGL affiliate, Fox & Trot Ltd. Fox & Trot also holds substantially all of GAIN Capital’s Convertible Senior Notes, due 2020, of which $60 million in principal amount were issued in connection with the acquisition of City Index.
IPGL’s two main assets are its 16% holding in NEX Group, and its aforementioned investments in GAIN Capital.