- Xplore Wealth (XPL) shares soared today on the back of news it had signed a deal to be acquired by HUB24
- Under the Scheme Implementation Agreement, HUB24 will acquire all XPL shares and all XPL options will be cancelled
- Hub24 announced today that it had completed a $50 million placement, via the issue of shares at $20 each, to fund the purchase
- It’s not the only growth initiative revealed by HUB24 yesterday and proceeds from the placement with also support two other investments
- XPL’s share price soared 188 per cent today to 19 cents, while HUB shares rose 8.35 per cent to $22.72
Xplore Wealth (XPL) shares have soared today on the back of news it had signed a deal that would see the company acquired by HUB24.
The companies have entered a Scheme Implementation Agreement under which HUB24 will acquire all XPL shares and all XPL options will be cancelled.
Hub24 announced today that it had completed a $50 million placement to institutional and sophisticated investors. A total of 2.5 million new shares will be issued at $20 each.
The proceeds from the placement will fund HUB24’s acquisition of Xplore Wealth and well as two other investments, also revealed to the market yesterday.
The company is looking to purchase Ord Minnett’s portfolio administration and reporting services and to secure around a 40 per cent interest in Easton Investments.
Following the completion of the fully-underwritten placement, HUB24 will proceed with a non-underwritten share purchase plan and expects to raise around $10 million.
Eligible shareholders will be able to apply for up to $30,000 worth of shares at the same issue price as the placement.
XPL’s share price soared 188 per cent today to 19 cents. HUB shares rose 8.35 per cent to close at $22.72.