iFOREX Financial Trading Holdings Ltd., a fintech business with a proprietary online and mobile trading platform for CFDs, announces that it is considering an initial public offering (the “IPO” or the “Offer”) and that it has earlier today published a registration document.
The Company is considering applying for admission of its Ordinary Shares to the equity shares (commercial companies) category of the Official List and to trading on the Main Market of the London Stock Exchange.
The Registration Document has been approved by the FCA.
Should iFOREX proceed with an IPO, the current expectation is that:
- The Company would be admitted to listing on the equity shares (commercial companies) category of the Official List and trading on the Main Market of the London Stock Exchange.
- The Offer would be comprised solely of new Ordinary Shares.
- The Offer would be made to institutional investors by way of a placing together with an offer to be made to intermediaries using the Bookbuild platform for distribution to retail investors in the United Kingdom (the “Bookbuild Intermediaries Offer”).
- Eyal Carmon, the business’ founder and majority shareholder (the “Founder”), will remain the majority shareholder of iFOREX upon Admission and has agreed to enter into a relationship agreement upon Admission. The Founder will continue to assist with providing his expertise to the business through a consultancy agreement with Recap Ltd., a company wholly owned by the Founder.
- The Founder, the Directors, the Proposed Directors, and certain other senior managers and employees who hold an interest in the Ordinary Shares through an employee share ownership trust (the “ESOP”) have agreed to a 12-month lock-up period, and subsequent 12 month orderly market period, in respect of their interest in the Ordinary Shares held at Admission.
- The Company has engaged Shore Capital and Corporate Limited as Sponsor and Shore Capital Stockbrokers Limited as Sole Bookrunner in the event the Offer proceeds.
iFOREX intends to invest the proceeds of the IPO in branding, brand awareness, and integrating new technologies, including AI, to enhance user experience and automation.
The company plans to obtain new regulatory licenses to increase penetration into new and existing markets.
The current intention is to maintain a progressive dividend policy, and the dividend for FY25 is expected to be set at approximately 50% of adjusted profits (as opposed to the typical historical level of a significant portion of profits).
Itai Sadeh, CEO of iFOREX, commented:
“We are delighted to announce our potential IPO in London. This news marks a significant milestone for our business as we continue to capitalise on the high demand and long-term growth opportunities within our thriving sector. London is one of the most attractive and competitive capital markets in the world, with a deep understanding of fintech companies. The opportunities to enhance our global brand presented through the potential listing, combined with our strong track record of profitability, proprietary platform, and robust risk management, position us well to accelerate growth and expand in our target markets.
“I would like to take this opportunity to thank our dedicated employees, whose hard work and commitment has been instrumental in our success so far. I would also like to thank our loyal clients for their continued support and trust in our services. We are looking forward to the challenge and goal of delivering outstanding shareholder value in the coming years and beyond.”
The Group has obtained regulatory authorisations from the Cyprus Securities and Exchange Commission (“CySEC”) and provides services throughout the European Economic Area (“EEA”) (with the exception of Belgium and Cyprus) and has obtained ”passports” granted in accordance with MiFID.
The Group also has relevant regulatory authorisations from the Financial Services Commission in the British Virgin Islands (“BVI”) and provides its services to clients located outside the EEA (subject to regulatory restrictions) through its BVI-registered entity, Formula Investment House Limited.
