GAIN Capital Prices Convertible Senior Notes

GAIN Capital Holdings on Thursday said it has priced an offering of $80 million aggregate principal amount of 5.00% convertible senior notes due 2022 in a private placement to qualified institutional buyers.The company also granted the buyers a 30-day option to purchase up to an additional $12 million aggregate principal amount of notes solely to cover over-allotments.

Net proceeds will be approximately $77.4 million, or $89.0 million if the option is exercised in full.
The company also said t has agreed to repurchase approximately $14.5 million of its common stock from purchasers of notes in the offering at $6.83 a share. GAIN Capital said it plans to use a portion of the net proceeds to repay outstanding indebtedness and the balance for general corporate purposes, which may include strategic acquisitions and share repurchases.

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