London Capital Group: post Brexit trading has been ‘materially positive’ for the Company

More good news for UK online broker London Capital Group Holdings plc (LON:LCG).

After reporting in June that it had a strong start to 2016 and would be rid of all its debt as part of a £10 million capital injection and recapitalization of the company, LCG reported in a regulatory filing to the London Stock Exchange that the immediate impact of post-Brexit volatility and trading was ‘materially positive’ for the company.

LCG also reported that its level of regulatory fees paid were questioned by the regulator (presumably the FCA), and that it was following up, but that the outcome of the query was unlikely to have a material impact on the company.

The full statement issued by LCG reads as follows:

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LONDON CAPITAL GROUP HOLDINGS PLC

(“London Capital Group”, “LCG”, the “Company” or the “Group”)

Statement on current trading post-EU referendum

London Capital Group can confirm that despite the unprecedented volatility in the financial markets as a result of the EU referendum, the immediate impact of the UK’s vote to leave the EU has been materially positive for the Company in terms of both revenues and profitability.

The Company has also recently received a query from a regulatory authority with regard to the level of regulatory fees being paid by the Company.  The Company is in the process of evaluating this and has agreed to revert to the regulator on 11 July 2016. The Company does not expect the outcome to have a material impact on its financial position, particularly against the background of LCG’s financial performance since the EU referendum.

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