City Index was apparently the last to withdraw from takeover talks.
UK financial spreadbetting firm London Capital Group (or “LCG”) announced today that it is no longer holding active talks with other parties regarding a takeover of the company. Previously, on February 12, LCG had stated that it had received approaches from several firms including US-based Cantor Fitzgerald and Gain Capital (Forex.com), as well as LCG’s UK competitor, City Index.
Gain Capital and Cantor Fitzgerald quietly withdrew from the talks, and today City Index decided to walk away as well.
In response, investors sent LCG’s shares tumbling today in trading on the London Stock Exchange, to around £0.37 per share, down 17% — back to roughly where they were when the rumors of a potential LCG takeover broke (as first reported by LeapRate).