Franklin Templeton confirms 13.5% stake in FXCM Inc

Following the completion of FXCM’s 1-for-10 reverse stock split effected on October 1, mutual fund giant Franklin Templeton was required to re-release an overview of its holdings in the retail forex broker.

As of September 30, Franklin owned a total of 723,110 shares of FXCM Inc (NYSE:FXCM), held in two separate funds: the Franklin Global Small Mid Cap Growth Fund holds most (647,475) of the stake, while the remainder were held at Franklin Templeton Investments Corp.

The stake represents 13.5% of FXCM’s outstanding public float.

It was also disclosed late last week that FXCM has already repaid $148 million in a combination of interest and principal payments to Leucadia since the $300 million loan was made in January, plus a $21 million fee which was paid to investment bank Jefferies LLC (which non-coincidentally is owned by Leucadia). FXCM still has another $203 million outstanding to repay on the loan, which carries very high (and still-rising) rates of interest. Even after the loan is fully repaid (assuming that it is at some point), Leucadia retains the right to a large percentage of the eventual sale proceeds of FXCM or its assets.

The Franklin Templeton filing on its FXCM share ownership can be seen here.

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