FXCM To Sell News And Research Website DailyFX To IG For $40 Mln - Quick Facts

(RTTNews) - FXCM Inc. (FXCM), online provider of foreign exchange or FX trading and related services, announced Friday that it has agreed to sell its news and research website DailyFX to online trading firm IG Group for $40 million.

Cash of $36 million will be paid to FXCM on closing, with the additional $4 million to be paid on completion of certain migration requirements.

Subject to IG final approval and customary closing conditions, the transaction is expected to close by the end of October. Once the transaction is completed, a transition period for migration purposes will begin immediately.

Upon completion of the deal, entire DailyFX business including all international and domestic web domains, source code and content, as well as its 34 employees, will be transferred to IG. FXCM will continue to be an advertiser to U.S. and Canadian residents on the DailyFX English version of the website.

FXCM expects to use the proceeds from the sale to repay debt owed to Leucadia. Following this transaction, FXCM will have made loan repayments of $157 million to Leucadia with $153 million outstanding and will have repaid more than half its debt.

Drew Niv CEO of FXCM, said, "While DailyFX is a high quality asset and was not a targeted asset to sell, the opportunity came along and it was something we felt we should take advantage of. At this time, we do not plan on selling any other retail FX assets and believe the remaining assets held for sale satisfy the remaining debt outstanding to Leucadia."